CPN Secrets PDF

2010 CPN SECRETS 2
Copyright, Legal Notice and Disclaimer:
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that much of this publication is based on personal experience, research and anecdotal
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complete accuracy of the content in this Guide, they assume no responsibility for errors or
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particular situation may not be exactly suited to the examples illustrated here; in fact, it's likely
that they won't be the same, and you should adjust your use of the information and
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Nothing in this Guide is intended to replace common sense, legal, medical or other
professional advice, and is meant to inform and entertain the reader. So have fun with this
guide, and welcome to the World of Legal CPN.
Important Note
Also note that on internet, websites come and go. Therefore, I need to keep updating this
guide to reflect the changes happening on the internet. If you find any broken link in this guide,
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TABLE OF CONTENTS
Disclaimer: The 2010 CPN Secrets E-book is for informational purposes only. www.legalcpn.com makes no representations or warranties
about the accuracy or suitability of this information. The information provided in this E-book does not constitute legal advice nor should it be
considered as such. This E-book is for INFORMATIONAL PURPOSES ONLY; All responsibility for the use or misuse of this information lies
solely on the user.
2010 CPN SECRETS 3
LEGAL CPN 2010 ³TELL ALL´ CREDIT SECRETS
INTRODUCTION ........................................................................................................5
CHAPTER 1 ± Understanding Your Credit..........................................................10

• The five types of information found on your credit report
• How your credit report is calculated
CHAPTER 2 ± How You Can Freeze Your Credit Report ...................................16

• How to place a security freeze on your credit profile
• Sample Freeze Letter Equifax, Experian and Trans Union
CHAPTER 3 ± Securing a Second Chance with Chex Systems ........................23

• How to avoid Chex Systems and open a new checking account
• How you can remove your account history from ChexSystems
• Example dispute letters you can send to Chex Systems
• A complete list of Non Chex Systems Banks
CHAPTER 4 ± Credit Profile Numbers (CPN¶s)...................................................29

• What is a CPN
• The Complete Law of The United States Privacy Act of 1974 Title V
• How you can legally obtain two credit profiles
• Various methods of setting up a Validated CPN ³Revealed Un-Cut´
• METHOD #1: The only 100% legal way to set up and use a CPN number
• METHOD #2: Creating a ³Matching Validated CPN Profile´ Revealed Un-Cut
• The proper way to validate a CPN number
• How to build a million dollar CPN Profile
• Opening your credit file with all 3 credit bureaus
• TIPS for building and maintaining your CPN Profile
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CHAPTER 5 ± Seasoned Trade-Lines .................................................................54

• Using trade-lines as a credit building tool
• Facts about primary and assumable trade-lines
• What is the best solution to literally boost your score over night
• What are the BEST WAYS to obtain FREE Primary Trade-lines
CHAPTER 6 ± Personal Credit Repair .................................................................62

• The Four steps to successful credit repair
• Examples of credit dispute letters to send to the credit bureaus
CHAPTER 7 ± Simple Steps to Establish Business Credit ...............................74

• The action items you must do to obtain an excellent business credit score
• Building business credit and finding financing sources
CHAPTER 8 ± Basics of Setting Up or Purchasing a Shelf Corporation .........86

• Shelf and Aged corporation disadvantages
• Shelf and Aged corporation advantages
• What are some additional shelf corporation benefits
• Understanding the basics of business credit
CHAPTER 9 ± Purchasing A Aged Corp for Less Than $100 ..............................98

• A complete summary on how you can purchase an Aged Corporation for under $100
CHAPTER 10 ± Repairing and Rebuilding Business Credit .............................. 100
CHAPTER 11 ± Applying For Business Credit ................................................... 111
CHAPTER 12 ± Starting a Online Credit Repair Business ................................ 120

APPENDICIES
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APPENDIX A ± SHELF CORP, PERSONAL, MEGA CORP; LENDER LIST .......... A
APPENDIX B ± SAMPLE EXPERIAN BUSINESS CREDIT REPORT ..................... B
WELCOME AND THANK YOU FOR YOUR PURCHASE:
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2010 CPN SECRETS 6
My name is Matt Cohen,

Co-founder Legal CPN, and I promise to illuminate every aspect of CPN¶s trade lines, credit
repair, and the business credit world. Some people refer to me as the brains behind Legal
CPN; I refer to myself as the hardest working man in the CPN and credit repair industry.
During my tenure with Legal CPN, I have had the opportunity to work with the brightest minds
in the credit repair industry. I promise to pass this knowledge on to you. The information
contained within this e-book is firsthand knowledge gained from thousands of clients handled
and serviced by myself as a Legal CPN senior account manager. Please be aware that some
issues covered within this book may include speculative statements, topics, and procedures
that I also will pass on to you in an effort to provide you every bit of information related to the
subject matter listed above. The 2010 CPN SECRETS will become the benchmark manual of
its type and we plan to complete blow away any book of its type.
DISCLAIMER: The 2010 CPN SECRETS E-book provided by Matt Cohen, cofounder of Legal CPN, is intended
for informational purposes only. Matt Cohen makes no representations or warranties about the accuracy or
suitability of this information for any purpose. Errors and omissions may occur. Therefore, A Consumer Holding
LLC, Legal CPN, Matt Cohen; disclaims any warranty, whether express or implied, as to any matter relating to this
service and all information provided. In no event shall A Consumer Holding LLC, Legal CPN, Matt Cohen be liable
for any indirect, special, incidental, or consequential damages arising out of any use or reliance on any
information contained herein. Nor does A Consumer Holding LLC, Legal CPN, Matt Cohen or any Agent of Legal
CPN, assume any responsibility for failure or delay in updating or removing the information contained herein.
Moreover, information provided in this E-book does not constitute legal advice nor should it be considered as a
replacement for the proper methods of credit repair. A Consumer Holding LLC, Legal CPN, Matt Cohen
www.legalcpn.com expressly disclaims all liability for decisions and actions taken or not taken in reliance upon
information contained in this E-book. Aside from the fact that this E-book is for INFORMATIONAL PURPOSES
ONLY, you must understand that all responsibility for the use or misuse of this information lies solely on you,
should you decide to create a CPN or ANY Product Mentioned within this E-Book.
FEATURED CONTENT:
CPN¶s
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2010 CPN SECRETS 7
Credit Freezing
Getting Around Chex Systems
Chex Systems Dispute Letter Examples
Different Methods of Setting Up a CPN Number
The Correct Method of Setting of a CPN Credit File
Seasoned Trade-lines
Primary Trade-lines
Assumable Trade-lines
Building a Million Dollar Credit Profile
How to Remove Inaccurate Credit Items
Example of Dispute Letters
How to Boost Your Score after You Have Deleted Inaccurate Items
How to Obtain a Shelf Corp for less than $100
Corporate and Mega Corp Lender List
A SUMMARY OF YOUR RIGHT UNDER THE FAIR CREDIT REPORTING ACT
The federal Fair Credit Reporting Act (FCRA) promotes the accuracy, fairness, and privacy of
information in the files of consumer reporting agencies. There are many types of consumer
reporting agencies, including credit bureaus and specialty agencies (such as agencies that sell
information about check writing histories, medical records, and rental history records). A
summary of your major rights under the FCRA:
You must be told if information in your file has been used against you. Anyone who uses a
credit report or another type of consumer report to deny your application for credit, insurance,
or employment ± or to take another adverse action against you ± must tell you, and must give
you the name, address, and phone number of the agency that provided the information.
You have the right to know what is in your file. You may request and obtain all the information
about you in the files of a consumer reporting agency (your ³file disclosure´). You will be
required to provide proper identification, which may include your Social Security number. In
many cases, the disclosure will be free. You are entitled to a free file disclosure if:
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2010 CPN SECRETS 8
• A person has taken adverse action against you because of information in your credit
report;
• You are the victim of identify theft and place a fraud alert in your file;
• Your file contains inaccurate information as a result of fraud;
• You are on public assistance;
• You are unemployed but expect to apply for employment within 60 days.
In addition, as of September 2005, all consumers are entitled to one free disclosure every 12
months upon request from each nationwide credit bureau and from nationwide specialty
consumer reporting agencies. See www.ftc.gov/credit for additional information.
You have the right to ask for a credit score. Credit scores are numerical summaries of your
credit-worthiness based on information from credit bureaus. You may request a credit score
from consumer reporting agencies that create scores or distribute scores used in residential
real property loans, but you will have to pay for it. In some mortgage transactions, you will
receive credit score information for free from the mortgage lender.
You have the right to dispute incomplete or inaccurate information. If you identify information in
your file that is incomplete or inaccurate, and report it to the consumer reporting agency, the
agency must investigate, unless your dispute is frivolous. See www.ftc.gov/credit for an
explanation of dispute procedures.
Consumer reporting agencies must correct or delete inaccurate, incomplete, or unverifiable

information. Such information must be removed or corrected, usually within 30 days. However,
a consumer reporting agency may continue to report information it has verified as accurate.
Consumer reporting agencies may not report outdated negative information. In most cases, a
consumer reporting agency may not report negative information that is more than seven years
old, or bankruptcies that are more than 10 years old.
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Access to your file is limited. A consumer reporting agency may provide information about you
only to people with a valid need ² usually to consider an application with a creditor, insurer,
employer, landlord, or other business. The FCRA specifies those with a valid need for access.
You must give your consent for reports to be provided to employers. A consumer reporting
agency may not give out information about you to your employer, or a potential employer,
without your written consent given to the employer. Written consent generally is not required in
the trucking industry. For more information, go to www.ftc.gov/credit.
You may limit ³prescreened´ offers of credit and insurance you get based on information in
your credit report. Unsolicited ³prescreened´ offers for credit and insurance must include a toll-
free phone number you can call if you choose to remove your name and address from the lists
these offers are based on. You may opt-out with the nationwide credit bureaus at 1-888-5-
OPTOUT (1-888-567-8688).
You may seek damages from violators. If a consumer reporting agency or, in some cases, a
user of consumer reports or a furnisher of information to a consumer reporting agency violates
the FCRA, you may be able to sue in state or federal court.
Identity theft victims and active duty military personnel have additional rights.
For more information, visit www.ftc.gov/credit. Or write: Consumer Response Center, Room
130-A, Federal Trade Commission, 600 Pennsylvania Ave. N.W., Washington, D.C. 20580.
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2010 CPN SECRETS 10
CHAPTER 1: UNDERSTANDING YOUR CREDIT
Anyone who has applied for any type of credit loan ± auto, home, personal, etc. ± has a credit
report. When one attempts to obtain these types of loans, his/her credit report is viewed by the
possible lender. This report shows lending companies your payment history on past and
current loans. This information is used to determine the ³credit risk´ of the applicant. If your
report shows that you have struggled in the past to pay your bills on time, or you currently have
a lot of outstanding debt, you may be denied the loan, or if you are granted the loan, it may be
at a higher interest rate, making it worthwhile for the lender to take the risk on the loan.
Since your interest rate is determined by your credit score and history, it is very easy for
anyone to sink in the quicksand of debt. If you have had late payments in the past, you
certainly will have to pay a higher interest rate than someone who pays on time. Now, your
new loans are even harder to pay back than the ones that got you in this position in the first
place. So, with every continued late payment, your score continues to drop and your rates
continue to increase. It doesn¶t take long to be upside down in debt with no reasonable
solutions available.
With credit scores being the determining factor when it comes to interest rates and loan
options, it is very important that you make sure your credit report is active and that you truly
understand how this affects your life. This chapter is dedicated to helping people understand
what goes into a credit report, how it gets there, and other key information to help you get the
most out of your credit file.
A credit report contains information about you and your credit experiences, like your bill-paying
history, the number and type of accounts you have, whether you pay your bills by the date
they¶re due, collection actions, outstanding debt, and the age of your accounts. Using a
statistical program, creditors compare this information to the loan repayment history of
consumers with similar profiles. For example, a credit scoring system awards points for each
factor that helps predict who is most likely to repay a debt. A total number of points ² a credit
score ² helps predict how creditworthy you are ² how likely it is that you will repay a loan and
make the payments when they¶re due.
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Some insurance companies also use credit report information, along with other factors, to help
predict your likelihood of filing an insurance claim and the amount of the claim. They may
consider these factors when they decide whether to grant you insurance and the amount of the
premium they charge. The credit scores used by insurance companies sometimes are called
³insurance scores´ or ³credit-based insurance scores.´
The companies that compile credit reports, called credit bureaus or credit reporting agencies
(CRAs), do not determine whether someone is a credit risk or not. The individual lenders
purchase these reports from the CRAs, which have collected the data from past lenders and
merchants. The current lender then reviews the credit file and determines whether or not the
applicant is suitable for the loan, depending on the lender¶s criteria.
THE HISTORY OF CREDIT REPORTS
Credit reporting and the first third-party agencies were born during the nineteenth century.
Small retail merchants exchanged information about their customers. They not only dealt in
financial information, they also shared personal details such as marital status, health, and
drinking habits. These "merchant associations" eventually organized into small credit bureaus.
In the beginning of the twentieth century, these informal organizations began to solidify into the
credit bureaus we know today. Once the computer gained popular use, creditors easily could
store enormous amounts of data and share this information quickly.
THE FIVE TYPES OF INFORMATION FOUND ON YOUR CREDIT REPORT:
1. Personal Identifying Information: Information about you including your full name,
current and past addresses, Social Security number, and any other nine digit number
recorded and linked to you, telephone numbers, and birth date, current and past
employers.
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2. Credit History: This section includes your bill-paying history with banks, retail stores,
finance companies, mortgage companies, and others that have granted you credit. It
includes information about each account you have, such as the type of loan (e.g.,
mortgage, student loan, revolving credit, or installment loan), the date the account was
opened; the credit limit or the loan amount; any cosigners of the loan; and your payment
history for the previous two years. In other words, if you were late, or missed any
payments, it will be recorded here. Any closed accounts also will be noted in this
section.
3. Public Records: Information that is readily available from local, state, and federal
court records showing any legal item that may affect your credit, such as bankruptcy,
judgments, suits, tax liens, foreclosures, and past-due items.
4. Recent Inquiries: This section includes the names of those who have obtained
copies or have been authorized to view your credit report within the last year. Any credit
inquiries for employment purposes over the past two years also will be included.
5. Consumer Statements: This section contains any statements you¶ve submitted to

the credit bureau to be included in the credit report. Usually, this statement is an
explanation of negative credit items appearing on the report, to be taken into
consideration by creditors.
Your credit report does not contain data about race, religious preference, medical
history, personal life style, political preference, friends, criminal record, or any other
information unrelated to credit. There are different versions of credit reports and
different scores calculated, depending upon the purpose of the request. Every lender
uses a slightly different equation to calculate a credit score; some also use different
versions for different products. Your credit rating changes when your circumstances
change.
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2010 CPN SECRETS 13
CREDIT SCORES AND CREDIT REPORTS
Your credit report is a key part of many credit scoring systems. That¶s why it is critical to make
sure your credit report is accurate. Federal law gives you the right to get a free copy of your
credit reports from each of the three national consumer reporting companies once every 12
months.
The Fair Credit Reporting Act (FCRA) also gives you the right to get your credit score from the
national consumer reporting companies. They are allowed to charge a reasonable fee,
generally around $8, for the score. When you buy your score, you often get information on how
you can improve it.
To order your free annual report from one or all the national consumer reporting companies,
and to purchase your credit score, visit www.annualcreditreport.com, call toll-free 877-322-
8228, or complete the Annual Credit Report Request Form and mail it to: Annual Credit Report
Request Service, P. O. Box 105281, Atlanta, GA 30348-5281. For more information, see Your
Access to Free Credit Reports.
HOW IS A CREDIT SCORING SYSTEM DEVELOPED?
To develop a credit scoring system or model, a creditor or insurance company selects a

random sample of its customers, or a sample of similar customers, and analyzes it statistically
to identify characteristics that relate to risk. Each of the characteristics then is assigned a
weight based on how strong a predictor it is of who would be a good risk. Each company may
use its own scoring model, different scoring models for different types of credit or insurance, or
a generic model developed by a scoring company. Under the Equal Credit Opportunity Act
(ECOA), a creditor¶s scoring system may not use certain characteristics ² for example, race,
sex, marital status, national origin, or religion ² as factors. The law allows creditors to use age
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2010 CPN SECRETS 14
in properly designed scoring systems. But any credit scoring system that includes age must
give equal treatment to elderly applicants.
WHAT DOES THIS MEAN TO YOU?
Credit scores use the data in your credit report and assign a number (usually ranging from
300±900) that shows lenders how much of a risk you are in paying back a debt. The higher
your score, the less of a risk you are (that¶s why a high score is important in getting a good
finance rate). The most common score used is the FICO score calculated by Fair Isaac
Corporation. There is one FICO score for each of the three reporting agencies. The agencies
may also have their own version of a credit score but FICO is the most widely used.
HOW YOUR CREDIT SCORE IS CALCULATED
Payment History (35%): Your payment history shows whether you pay your bills on
time, the number of past-due accounts, bankruptcies, and other payment-related
behavior. The better you are about making your monthly payments on time, the better
your credit score will be. Late payments demonstrate higher credit risk behavior.
Amounts and Balances Owed (30%): This takes into account not only how much you
owe, but also the ratio between outstanding debt and available credit. In other words,
the closer you are to "maxing out" an account, the more negative the impact on your
credit score.
Length of Account History (How old is the account) (15%): Accounts that have been
open and active for a long time score more points. The less time your accounts have
been open, the less time you've had to prove yourself. You need at least six months
(preferably nine to 12 months) of credit activity to build a credit score.
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Types of credit accounts (10%): More variety shows experience with different
accounts, reducing the possibility of credit risk. However, if you have many open credit
accounts, you have greater potential to accrue more debt and your score may be
reduced. Highest scores usually involve a mix of revolving and installment accounts,
showing that you know how to handle various types of credit.
New credit accounts (10%): How frequently and how recently have you applied for
new credit? Many outside inquiries into your credit, especially within a 12-month period,
can lower your credit score. Your score could be used for credit card applications, auto
loans, mortgages, insurance, and by potential employers. Insurers treat a high score as
being more responsible and can get you better rates. Employers use the score in the
same way. They look at your score as a measure of how responsible you may be at
work.
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CHAPTER 2: FREEZEING YOUR CREDIT REPORT
You have the right to put a ³security freeze´ on your credit file. A security freeze means that
your file cannot be shared with potential creditors. A security freeze can help prevent identity
theft. Most businesses will not open credit accounts without first checking a consumer's credit
history. If your credit files are frozen, even someone who has your name and Social Security
number probably would not be able to get credit in your name. A security freeze is free to
identity theft victims who have a police report of identity theft. If you are not an identity theft
victim and you are under 65 years of age, it will cost you $10 to place a freeze with each of the
three credit bureaus. That¶s a total of $30 to freeze your files. If you are not an identity theft
victim and you are 65 years of age or older, it will cost you $5 to place a freeze with each of
the three credit bureaus. That¶s a total of $15 to freeze your files.
HOW DO I PLACE A SECURITY FREEZE? To place a freeze, you must contact each of the
three credit bureaus. You can place the freeze by mail. See the sample letters at the end of
this sheet for addresses and what information to include. You also may be able to place the
freeze by phone or online. Please visit www.equifax.com , www.experian.com , and
www.transunion.com for up-to-date options. You must provide identifying information. If you
are an identity theft victim, provide a copy of your police report (or DMV investigative report) of
identity theft. Otherwise, if you are under 65 years of age, provide payment of $10 to each of
the credit bureaus; if you are 65 years of age or older, provide payment of $5 to each of the
credit bureaus.
Placing a credit freeze, or security freeze, on your credit reports means an identity thief, even
one who has your name, address, Social Security number, birth date and more, should NOT
be able to get new loans and credit in your name. That's because lenders, retailers, utilities
and other businesses need access to a credit report to review and approve new credit, loans,
and services.
Credit report freeze laws have been enacted in all but 3 states. California passed the first
credit freeze law back in 2002. Now almost all of the states have a law on the books.
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2010 CPN SECRETS 17
Individuals living in states that have passed laws regarding freezing credit reports must abide
by those laws. There are variations between states, so check out your state's website for
details on how to place a freeze on your credit report.
CREDIT FREEZE LAWS BY STATE
47 states and the District of Columbia have now all enacted legislation enabling a credit freeze.
Alabama, Missouri, and Michigan are the only states without a credit freeze, but the credit
bureau's voluntary credit freeze is still available to them.
Can I open new credit accounts if my files are frozen? Yes. If you want to open a new
credit account or get a new loan, you can lift the freeze on your credit file. You can lift it for a
period of time. Or you can lift it for a specific creditor. After you contact the credit bureaus
asking for the freeze, each credit bureau will send you a Personal Identification Number (PIN).
You also will get instructions on how to lift the freeze by using your PIN. The credit bureaus
must lift your freeze within three days. For consumers under 65 years of age, the fee for lifting
the freeze temporarily is $10 for a date-range lift or for a lift for a specific creditor. For
consumers 65 years of age or older, the fee for either type of temporary lift is $5.
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What is the difference between a fraud alert and a freeze? A fraud alert is a special
message on the report that a credit issuer receives when checking a consumer¶s credit rating.
It tells the credit issuer that there may be fraud involved in the account. A fraud alert can help
protect you against identity theft. A fraud alert also can slow down your ability to get new
credit. It should not stop you from using your existing credit cards or other accounts. A security
freeze means that your credit file cannot be seen by potential creditors, insurance companies,
or employers doing background checks ± unless you give your consent. Most businesses will
not open credit accounts without first checking a consumer¶s credit history.
How long does it take for a security freeze to go into effect? Credit bureaus must place
the freeze no later than three business days after receiving your written request.
How long does it take for a security freeze to be lifted? Credit bureaus must lift a freeze no
later than three business days after receiving your request.
What will a creditor who requests my file see if it is frozen? A creditor will see a message
or a code indicating that the file is frozen.
Can a creditor get my credit score if my file is frozen? No. A creditor who requests your file
from one of the three credit bureaus will only get a message or a code indicating that the file is
frozen.
Can I still get my free annual credit report if my file is frozen? Yes. To order your free
annual credit reports, see our CIS 11: How to Order Your Free Credit Reports. For Experian
and Trans Union reports, use the regular procedures for ordering. For Equifax, order by mail
using the form included in CIS 11 and also provide the PIN issued to you by Equifax when you
froze your file.
Can anyone see my credit file if it is frozen? When you have a security freeze on your
credit file, certain entities still have access to it. Your report still can be released to your
existing creditors or to collection agencies acting on their behalf. They can use it to review or
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2010 CPN SECRETS 19
collect on your account. Other creditors also may use your information to make offers of credit;
unless you opt out of receiving such offers. See below for how to opt out of pre-approved
credit offers. Government agencies may have access to collect child support payments or
taxes, or for investigating Medi-Cal fraud. Government agencies also may have access in
response to a court or administrative order, a subpoena, or a search warrant.
Do I have to freeze my file with all three credit bureaus? Yes. Different credit issuers may
use different credit bureaus. If you want to stop your credit file from being viewed, you need to
freeze it with Equifax, Experian, and TransUnion.
Will a freeze lower my credit score? No.
Can an employer do a background check on me if I have a freeze on my credit file? No.

You would have to lift the freeze to allow a background check or to apply for insurance, just as
you would to apply for credit. The process for lifting the freeze is described above.
Does freezing my file mean that I won¶t receive pre-approved credit offers? No. You can
stop the pre-approved credit offers by calling 888-5OPTOUT (567-8688). Or you can do this
online at www.optoutprescreen.com . This will stop most of the offers, the ones that go through
the credit bureaus. It¶s good for five years or you can make it permanent.
Does my spouse¶s file have to be frozen, too? Yes. Both spouses have to freeze their
separate credit files, via separate requests, in order to get the benefit. That means the total
cost for freezing for consumers under 65 years of age is $10 x 3 credit bureaus x 2 people =
$60. For consumers 65 years of age or older, the total cost for freezing is $5 x 3 credit bureaus
x 2 people = $30.
What law requires security freezes? The California law on security freeze is in the California
Consumer Credit Reporting Agencies Act, at California Civil Code §§ 1785.11.2-1785.11.6
and 1785.15.
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SAMPLE FREEZE LETTER TO EQUIFAX
[Date]
Equifax Security Freeze

P.O. Box 105788
Atlanta, GA 30348
Dear Equifax:
I would like to place a security freeze on my Equifax credit file.
My full name is:
My current home address is:
My former address was:
My Social Security number is:
My date of birth is:
PLEASE CHECK ONE:
I am under 65 years of age, and I will pay the fee of $10 for placing the freeze.
I am 65 years of age or older, and I will pay the fee of $5 for placing the freeze.
OR
I am an identity theft victim and a copy of my policy report or DMV investigative report of
identity theft is enclosed.
[By check, money order, or credit card]
Yours truly,
[Your name and address]

please include; payment for the appropriate fees by check, money order, VISA, MasterCard,
Discover, or American Express. For credit card payment, please include your name as it
appears on the card, the card number, and the expiration date.
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SAMPLE FREEZE LETTER TO EXPERIAN
[Date]
Experian Security Freeze

P.O. Box 9554
Allen, TX 75013
Dear Experian:
I would like to place a security freeze on my Experian credit file.
My full name is:
Below is a list of my addresses for the past two years:
As proof of my residence, I am enclosing the following two items: 2
Please check one:
I am under 65 years of age, and I will pay the fee of $10 for placing the freeze.
I am 65 years of age or older, and I will pay the fee of $5 for placing the freeze.
OR
I am an identity theft victim and a copy of my police report or DMV investigative report of
[By check, money order, or credit card] 3
Yours truly,
Enclose a copy of a government-issued identification card and a copy of a recent utility bill,
bank statement, or insurance statement that displays your name, current mailing address, and
the date of issue. For credit card payment, give name of credit card, account number, and
expiration date.
SAMPLE FREEZE LETTER TO TRANSUNION
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[Date]
TransUnion Security Freeze

P.O. Box 6790
Fullerton, CA 92834-6790
Dear TransUnion:
I would like to place a security freeze on my TransUnion credit file.
My full name is:
As proof of my residence, I am enclosing the following item:4
Please check one:
I am under 65 years of age, and I will pay the fee of $10 for placing the freeze
I am 65 years of age or older, and I will pay the fee of $5 for placing the freeze
[by check, money order, or credit card]5
OR
I am an identity theft victim and a copy of my police report or DMV investigative report of
Yours truly,
enclose a copy of a state-issued identification card or driver¶s license. For credit card payment,
give name of credit card, account number, and expiration date.
solely on the user.
2010 CPN SECRETS 23
CHAPTER 3: SECURING A SECOND CHANCE WITH CHEX SYSTEMS
For many of you, this chapter will be extremely helpful. The information I am presenting here
has been proven time after time and will help you obtain a new checking account or removing
your name from Chex Systems. I am continuously ask by my clients, ³How they can remove
themselves from Chex Systems or get a new checking account.´ My primary role within Legal
CPN has been credit repair and alternative credit repair. I am sure the information provided
within this short chapter will be of great service.
BACKGROUND ON CHEX SYSTEMS,
First it is important for you to know, banks rely on Chex Systems primarily to help them screen
applicants for new accounts, especially checking accounts. For the most part, a standard
checking account won¶t generate much money for a bank (outside of penalty fees, over draft
fees, and service fees which nets the banks billions of dollars per year). Many banks will offer
free checking accounts in hopes of enticing you to invest in more lucrative products. The
banks practice of issuing indiscriminately checking accounts can expose the bank to
considerable fraud and eat into their profitability, which is why a large percentage of banks
subscribe to Chex Systems for new client screening. According to a Bank of America
estimates losses totally $1.3 billion in check fraud an estimated loss of $13 billion from bad
checks occurs nationally each year.
The most banks will view customers past account problems as a key predictor of potential risk,
which is why many Chex Systems member banks will deny an account based on a negative
Chex Systems report.
HOW CAN I GET AROUND CHEX SYSTEMS AND OPEN A NEW CHECKING ACCOUNT?
solely on the user.
2010 CPN SECRETS 24
• We have found people that are reported to Chex Systems can open another checking
account by using a Non-Chex Systems Bank. I HAVE INCLUDED A LIST OF NON
CHEX SYSTEM BANKS TOWARD THE END OF THIS CHAPTER!
• We have also seen some people resort to opening untraditional bank account often
called "second chance bank accounts" usually a checkless bank account connected to
a debit card. Second chance checking accounts although they are initially checkless,
they do provide all the benefits of a regular checking account including bank routing
number, account number, and debit cards.
REMOVING YOUR ACCOUNT HISTORY FROM CHEXSYSTEMS
If your name has been placed in ChexSystems, you may find it hard to open a checking
account or even write a check. ChexSystems is governed by the Fair Credit Reporting Act,
which allows you to dispute any claims against you. This is your right to do so.
1. The first step you will want make is visit www.chexhelp.com and order a copy of your
ChexSystems report. This will allow you to find out what caused you to be placed on
their system and will also give you a Consumer ID number.
2. The next step on your journey to checking freedom is to send ChexSystems a letter
disputing the negative listing. You will need to make a copy of the letter for your files
and send the original via Certified Mail. You will want proof of when it was sent and
who signed for it. This will become a legal document. ChexSystems is then required to
contact you within 30 days or delete the listing.
CHEX SYSTEMS MAILING ADDRESS:

solely on the user.
2010 CPN SECRETS 25
CHEXSYSTEMS CUSTOMER RELATIONS

12005 FORD ROAD SUITE 600
DALLAS, TX 75234
YOU WILL NEED TO INCLUDE THE FOLLOWING INFORMATION ON EVERY LETTER:
1. Your name (printed not signed)

2. Your complete mailing address
3. Your Social Security number
4. Your Consumer ID number (listed on the ChexSystems report)
5. Your Bank name
6. The negative listing stated on the report and the date it occurred
7. Next, you will need to create your letter.
MAKE COPIES OF ALL LETTERS AND SEND THEM ALL CERTIFIED MAIL.
LETTER 1: (This is the beginning)
Inform ChexSystems that you have reviewed your report and the items they have listed are
inaccurate. Ask them to validate the information from the bank and send you copies of any
documentation they have regarding this listing that bear your signature. At the end of the
letter, you need to demand for them to remove this inaccurate information. Ask to have the
information deleted from the file under your social security number. This could be the only
letter you will need. It may be enough to have them remove your name from the system.
However, just in case they become difficult and decide not to cooperate, here is what you
would do in letter number 2, which you will send 30 days later.
NOTE: Only send this letter once you have received the initial dispute back from them. You
need to know the outcome before you send the second letter.
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2010 CPN SECRETS 26
LETTER 2: (if your dispute was verified)
Inform ChexSystems that you wish to have a description of the procedure that was used to
determine that the information they sent you was valid. Looking at a computer screen does
not make it valid. You will want to request that they respond to your letter within 14 days. If you
are not contacted in 14 days you will contact the FTC and your State's Attorney General's
office. You can also file a petition in small claims court for items such as Defamation, Violation
of the Fair Credit Reporting Act, and Negligent Enablement of Identity Fraud. If this is too
much of a hassle for you, then resend letter # 1 and start the process over again. You must be
willing to be patient. Basically, YOU WOULD KEEP DOING LETTER 1 AND LETTER 2
UNTIL THE NEGATIVE LISTING IS REMOVED.
If you are determined and want to go above and beyond, then you can also use the strategy of
letter 3.
LETTER 3: (If your letter has not been responded to in 30 days)
Inform ChexSystems that you will file a petition in small claims court for Defamation, Violation
of the Fair Credit Reporting Act, and Negligent Enablement of Identity Fraud. You can file a
petition for $20.00 at your local courthouse. It is very easy to do and may be the only thing you
can do at this stage of the game. If ChexSystems Has Removed the Negative Listing: Save all
documentation that your account has been cleared. Keep this information safe. It may
happen that ChexSystems has not informed all banks or financial institutions. The
documentation will not help you at a point of sale place. However, it will help with a bank when
opening an account.
AS SOON AS YOU RECEIVE A NOTICE FROM CHEXSYSTEMS THAT YOU¶RE ACCOUNT

HAS BEEN CLEARED, OPEN A CHECKING ACCOUNT.
solely on the user.
2010 CPN SECRETS 27
It is possible that ChexSystems will allow the disputed claim to find its way back on to your
report. Therefore, as soon as it is cleared, you will want to open an account.
NON CHEX SYSTEMS BANKS

Bank Location Website
Access National Bank Virginia www.accessnationalbank.com
Ally Bank Online - Nationwide www.ally.com
Amcore Bank Illinois, Iowa, Wisconsin www.amcore.com
Apple Creek Banking
Ohio N/A
Company
Alabama, Arizona, California, Colorado,
Florida, Georgia, Illinois, Kansas,
Armed Forces Bank
Kentucky, Missouri, Nevada, New www.afbank.com
(military)
Jersey, North Dakota, Texas, Virginia,
Washington, Wyoming
Bank Caroline South Carolina www.bankcaroline.com
Bank of Gueydan Louisiana N/A
Bank of Nashville Tennessee www.bankofnashville.com
Bank of Pensacola Florida www.bankofpensacola.com
Capital City Bank Alabama, Florida, Georgia www.ccbg.com
Centrue Bank Illinois www.centrue.com
Boone County National
Missouri www.boonebank.com
Bank
Chester National Bank Illinois, Missouri www.chesternationalbank.com
Citizens State Bank Michigan www.mycommunitybank.com
City National Bank & Trust Oklahoma www.cnbok.com
Community Bank & Trust Oklahoma www.banktulsa.com
Elizabethton Federal
Tennessee www.elizfed.com
Savings Bank
Elk Horn Bank & Trust Arkansas www.ehbt.com
Equitable Savings and
Colorado www.equitable-savings.com
Loan
Everbank Online - Nationwide www.everbank.com
First Convenience Bank Texas www.1stcb.com
First Federal South Carolina www.firstfederal.com
First Internet Bank of
Indiana www.firstib.com
Indiana
First State Bank Michigan www.thefsb.com
First State Bank Kansas www.fsbkcks.com
First State Bank of
Illinois www.fsbmendota.com
Mendota
First United Bank Colorado www.1stunitedbank.com
California, Delaware, North Carolina,
Fort Sill National Bank
Oklahoma, South Carolina, Tennessee, www.fsnb.com
(military)
Texas
Fremont National Bank &
Nebraska www.fremontnational.com
Trust
Glenview State Bank Illinois www.gsb.com
Greenville National Bank Ohio www.greenvillenationalbank.com
solely on the user.
2010 CPN SECRETS 28
Bank Location Website

ING Direct Online - Nationwide www.ingdirect.com
Kevil Bank Kentucky N/A
Keystone Savings Bank Iowa www.keystonesavings.com
Keywest Bank Florida www.keywest-bank.com
Merchants Bank Alabama www.merchantsbk.com
Old Florida Bank Florida www.oldflbank.com
Omega Bank Pennsylvania www.omegafinancial.com
Peoples Trust & Savings
Iowa www.ptsbank.com
Bank
Prosperity Bank Florida www.prosperitybank.com
Alabama, Arkansas, Florida, Georgia,
Iowa, Illinois, Indiana, Kentucky,
Louisiana, Missouri, Mississippi, North
Regions Bank www.regions.com
Carolina,
South Carolina, Tennessee, Texas,
Virginia
Renasant Bank Alabama, Mississippi, Tennessee www.renasantbank.com
Savings Institute Connecticut www.savingsinstitute.com
Security Bank of
Missouri N/A
Southwest Missouri
Alabama, Arkansas, Florida, Georgia,
Maryland, Mississippi, North Carolina,
Suntrust Ohio, Pennsylvania, South Carolina, www.suntrust.com
Tennessee, Virginia, Washington DC,
West Virginia
Arizona, Colorado, Illinois, Indiana,
TCF Bank www.tcfexpress.com
Michigan, Minnesota, Wisconsin
Teche Federal Bank Louisiana www.teche.com
The Farmers State Bank Ohio www.thefarmersstatebank.com
Trustco Bank Massachusetts, New York, Florida www.trustcobank.com
Univest Pennsylvania www.univest.net
Arizona, California, Colorado, Florida,
USAA (military) www.usaa.com
Nevada, Texas, Virginia
Valley State Bank Kansas www.valleystatebank.com
Wayne County Bank Tennessee www.waynecountybank.com
Woodforest National Bank Texas, Illinois, Kentucky www.woodforest.com
You can visit Chex Systems website by following this link: http://www.chexaccount.com
solely on the user.
2010 CPN SECRETS 29
CHAPTER 4: CREDIT PROFILE NUMBERS (CPN¶s)
CPN DISCLAIMER: Information received and presented from The Legal CPN 2010 CPN
Credit Secrets does not qualify as legal or tax advice. It is meant purely as a communication of
information. Lying on applications about bankruptcies, foreclosures, or anything in this regard
is a federal crime, as is misrepresenting your Social Security Number on applications.
WHAT IS A CPN?
The term credit profile number is a very general term used to describe all numbers that are
used for credit purposes. The main profile number to be used for all employment, government,
and personal tax information is your Social Security number. This number has become the
staple of many financial institutions when it comes to lending. This number never was
designed to be used for credit purposes and was created mainly to be used to attain your
Social Security benefits.
• THE TERM (CPN) IS a term that is nothing more than an abbreviated three-letter
combination which means nothing more than a word called Credit Profile Number.
• THE WORD CREDIT PROFILE NUMBER IS DEFINED AS any nine (9)-digit number
(or any number) taken out of its natural usage that can be, is, or has been used for
credit, such as a Social Security number (SSN), employee identification number (EIN),
or Individual Tax Identification Number (ITIN).
The idea of everyone having a national ID number such as a Social Security Number actually
was quite radical. This number never was intended to be used as it is today. Today, our Social
Security numbers are used by every financial institution, and in most cases, you can¶t even
rent a movie without giving it.
solely on the user.
2010 CPN SECRETS 30
ACCORDING TO THE UNITED STATES PRIVACY ACT OF 1974 TITLE V: "It shall be
unlawful to deny any individual any right, benefit, or privilege provided by law because of
such individual¶s refusal to disclose his or her Social Security Account Number « Any
Federal, State, or Local Government Agency which requests an individual to disclose their
Social Security Account Number shall inform that individual whether the disclosure is
mandatory or voluntary, by what statutory or other authority such number is solicited, and
what uses will be made of it."
THE FULL U.S. LAW CAN BE FOUND HERE:
http://www.usdoj.gov/oip/privstat.html
Or it can be found here: http://www.ftc.gov/foia/privacy_act.shtm ;
We have seen "THEY" like to close, move or hide web pages which display this
information on legal, government, or legitimate websites. It appears "SOMEONE" doesn¶t
want you to know the above LAW IS REAL, LEGITAMATE, CURRENT AND ACTIVE! This
is a real law meant to protect you from powerful private corporations or group of private
corporations banned together making an attempt to negatively control you by meant of a
permanent negative credit condition.
Q: Can I actually get credit using my CPN number?
A: As cofounder of Legal CPN and having worked personally with thousands of

Legal CPN clients as a senior account manager for several years, it never fails
that someone every day will ask me if he or she can get credit using a CPN
Number. My consistent answer to these questions, every single day, is YES!
Absolutely YES. Below is the reason why.
WHAT IS THE FACTUAL RELATIONSHIP BETWEEN BANKS AND CPN¶s:

solely on the user.
2010 CPN SECRETS 31
IT IS A FACT that every bank, credit union, indeed every financial institution in the United
States has outstanding loans, notes, and accounts opened with Social Security numbers
(SSN), individual tax identification numbers (ITIN), tax identification numbers (TIN), and
employee identification numbers (EIN). FACT! Banks lend to individuals using SSNs, legal
nonresident aliens using ITINs, taxpaying Individuals using TINs, and businesses using EINs.
THIS IS A FACT! Again, a Credit Profile Number can be defined as any nine (9)-digit number
(or any number) taken out of its natural usage that can be, is, or has been used for credit, such
as a Social Security Number (SSN), Employee Identification Number (EIN), or Individual Tax
Identification Number (ITIN). To test my definition and test my statement, I¶d simply ask you to
subpoena lenders, financial institutions and banking outstanding loan account, which you will
find; BANKS DO IN FACT; have outstanding loans for individuals and businesses, such as
credit cards, car loans, mortgages, personal loans, with CPN numbers. The use of EINs, TINs,
ITINs and SSNs, all of which are considered CPNs when used outside their natural issued
intent are all found within as active account within every single banking institution across the
United States and beyond! Therefore, the answer is ABSOLUTELY YES you can obtain credit
using a CPN number.
HOW TO OBTAIN TWO CREDIT PROFILES, LEGALLY: The past few decades have seen
the development and use of a variety of methods to attain second credit profiles. Before you
get you new credit profile number, consider these things:
1. It is illegal for consumers to purposely conceal adverse credit histories from

banks and lending institutions.
2. Your second credit profile does not dismiss any of your previous liabilities.
3. Any income gains or losses related to filing tax returns will have to be filed
separately.
4. Verification of your CPN can be done through your business structure when done
outside of IRS or government verification. Verification within the IRS or
government database can be done with your CPN Number or your SSN if you
have one. Neither lenders nor ANY private corporation can verify any information
solely on the user.
2010 CPN SECRETS 32
beyond what your credit report and application will show based on your personal
business CPN file. So, please be sure to read any contract in full, and be sure to
provide accurate answers to any questions presented by any lender or requestor.
5. Banks verify SSNs with different methods and tools, so you never should put
your CPN on an application where your SSN is requested. If the lender detects
that your CPN is not a valid SSN, it will look negatively at your application and
probably request more verification documentation.
6. It is not legal to conceal poor credit history. Getting a clean credit profile has little
to do with the government or legality at all. The Credit Bureaus have enormous
databases that have to manage and maintain millions of records. These highly
advanced technological apparatuses are not foolproof by any means. In fact,
they have glitches in the system that will allow you to create a clean credit profile
for yourself. Credit Bureaus base your score and credit history on specific
criteria, including the nine-digit credit profile number with name, address, and a
variety of other data. Generating a new credit profile under your name will require
using different information with a new credit profile number to establish a second
credit profile within the credit bureau system. By using information the credit
bureau database does not recognize, you will find that ³no record found´ is
returned. This ³no record found´ return actually is the glitch, because it
automatically generates a new profile based on the information given, because
no record was found.
From that point on, as long as your new information and profile never are linked with your old
information, you will have a completely separate credit profile. Whenever applying for credit,
only use your new information so that you don¶t accidentally link your new profile to your old
one. This is discussed further on in the E-Book.
VARIOUS METHODS TO OBTAIN A NEW CREDIT FILE

solely on the user.
2010 CPN SECRETS 33
There are a variety of methods to obtain second credit profiles. You probably are asking
yourself how this is possible. Let us explain by starting at the conceptual level and working
toward the specifics. Credit Bureaus are private companies and they depend on the same late
twentieth and early twenty-first century technology that we do. Creating the large databases
needed to contain the credit information of millions of people alive and dead is no easy task.
These complex systems are not foolproof; in fact they have a major glitch, which has made
creating second credit profiles very easy to accomplish in a number of ways. The Credit
Bureaus base your credit profile on specific criteria, the most important being your nine-digit
credit number, address, and name. Changing any two of these conditions will throw a monkey
wrench into the database and create a second credit profile immediately. This means that if
you had your name changed, and moved to a new address, you literally could use your normal
Social Security Number and have a second credit profile. This understanding will lead you to
conclude that you don¶t need a second credit number at all, and that is true; you can create a
second credit profile based on your current Social Security Number just by doing something
like getting married and moving to a new residence. Any combination of information changed
when pulling your credit profile can produce a new one, and that is simply because the
technology is not capable of figuring out the differences. Computers have been around for only
40 years and are by no means at ³Star Trek´ levels. Because we live in a time when computer
technology is in its infancy, we can take advantage of glitches such as this one to generate a
second credit profile.
ADOPTEES: Many adopted people who find out who their biological parents are might try to
regain connection by changing their name to fit the biological parents¶ names. This actually
happens quite often. In one case, an adoptee learned of his birth parents, reconnected with
them, and changed his name all at the same time that he switched addresses. When the
adoptee went to pull up his credit record with his normal Social Security Number, his new
address, and his new name, he found that there was no record. Having read a previous
version of our E-Book, the adoptee realized that he had just generated a second credit profile
using his current Social Security Number. This is one method that will work and can be applied
to many different situations. Adopting a new name and address actually is done quite easily,
solely on the user.
2010 CPN SECRETS 34
so we will allow you to consider all the possibilities and will not elaborate further on this
subject.
MARRIAGE: Married women often take their husband¶s name. And when people marry, they
often move to a new home, which means that two criteria have been changed. Understanding
this concept, a married woman who changes her name and address and then try to access her
credit record using her current Social Security Number, her new name, and new address will
find there¶s no record. She would have just accomplished the creation of a second credit profile
using her current Social Security number.
IDENTITY THEFT: People whose identity is stolen actually have quite a few options to
generate a second credit profile. Often, if the damage is extreme to one¶s credit report, the
Social Security Administration will issue a second Social Security number. In order to qualify,
you cannot have been in bankruptcy; you cannot intend to avoid the law or legal responsibility;
and you must have proof your Social Security Number has been used improperly by someone
other than yourself. You also can get a new Social Security number in certain domestic
violence cases, and if your religious or cultural beliefs conflict with the digits given to you.
In the case of identity theft, you will need the following to obtain a second Social Security
number:
1. Completed SS-5 form from www.ssa.gov
2. Show documents proving citizenship and identity
3. Evidence why you need a new number
After you have all of that completed, you will need to turn it into your local Social Security
office.
As you can see, besides identity theft and attaining a second Social Security number, the basic
premise remains the same.
HOW CREATING A NEW CREDIT FILE IS POSSIBLE:

solely on the user.
2010 CPN SECRETS 35
CHANGES TO ANY TWO OF THE THREE CRITERIA: BELOW WILL CREATE A SECOND
CREDIT PROFILE.
1. YOUR NAME
2. YOUR ADDRESS
3. YOUR NINE-DIGIT CREDIT NUMBER
Changed Name + Changed Address + Same SS# = New Credit Profile

New Credit Number + Changed Address + Same Name = New Credit Profile
Same Address + New Name + New Number = New Credit Profile
The concept here isn¶t that the Credit Bureaus are not sophisticated enough to deduce the
similarities when you put in the new information. The true fact is that your name, number, or
address alone is not unique to one single person. This particular method and glitch will not last
forever as technology is improving all the time. With this conceptual understanding, you should
be able to deduce the best route for you to obtain a second credit profile. It can be as simple
as a name change and a new address. However, if you ever decide to utilize what you have
learned here today, be warned that you are still completely responsible for all your prior debts.
Creating a new credit profile should be done only by those who truly wish to start clean, and
not have similar problems as before. If you plan to use this number to get credit and not pay it
back, you quickly will find that you are in some very hot water. This action is not sanctioned by
the government in any way. It only is legal if you do not file for your number under false
pretenses, and you do not ever default again on anything related to credit. Once defaulting has
occurred using this number, if the creditor finds out about your other credit file, legality is
thrown to the wind, and you are going to be looked at closely by the authorities. While this is
an easy way to establish a clean credit file, it is so much more important that you protect this
individual number. If for any reason you were to default on anything associated with this
number, and the institution found out you had another credit number with a bad credit history, it
easily would constitute fraud and could land you with major fines or jail time. Misrepresenting
solely on the user.
2010 CPN SECRETS 36
your Social Security Number is illegal on applications, and it is important you mark it as a TIN,
and write it as it is given. Further, you could be charged with mail or wire fraud if you use the
mail or the telephone to apply for credit and misrepresent yourself. This is why it is so
important that you never default using this number, and never do anything that could land you
in trouble.
If you have declared bankruptcy and apply for a loan (or life insurance) greater than $50K, you
must disclose this on the application. If you lie and are found to have been lying, your loan
could be called or your insurance cancelled. This would constitute fraud according to federal
law and is punishable by fines or prison time. Even one single slip can land you in prison! If
you are nervous about getting a new credit profile number, please take a look at our section on
Personal Credit Repair Secrets We hope that our E-Book has done what it set out to do, which
was to explain exactly what this second credit profile business is all about. The various
methods explained thus far have proven to have worked and will work as long as you are on
top of things. Whatever method you choose, or if you decide not to go through with obtaining a
second credit profile, we hope you have enjoyed learning all about it and appreciate your
purchase of our book.
OUR OFFICAL STATEMENT CONCERNING USING CPN¶S TO AQUIRE CREDIT FROM

ANY LENDER IS: ³PAY YOUR BILLS ON TIME AND DO NOT DEFAULT ON ANY BILLS OR
PAYMENTS YOU MIGHT ENTER USING YOUR CPN CREDIT FILE.´ MATT COHEN;
CONSUMER INVESTORS LLC, A CONSUMER HOLDING LLC, DBA
WWW.LEGALCPN.COM
THINGS YOU WILL NEED WHEN SETTING UP A NEW CREDIT PROFILE:
1. An address you do not have listed on your credit report. In most situations, the bureaus
know more about you than you do. To be on the safe side, pull your report and view the
section where the addresses and numbers listed for you are on file.
2. Your real name
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2010 CPN SECRETS 37
3. Your correct Social Security number (when setting up a Legal CPN)
4. A phone number not currently linked to your name or a credit account
5. Your correct birth date (When setting up a Legal CPN). If you are setting up a matched
CPN profile, we have heard of people matching their DOB to match their new profile,
which means they have changed their DOB to match their profile. We will cover more on
this below in the MATCHED CPN PROFILE SECTION.
THE TWO PREFERRED METHODS OF GENERATING A NEW CREDIT PROFILE
There are numerous ways to generate a credit profile number and separate credit profile. The
one you have just been shown is the one used by countless attorneys to generate new credit
files for their wealthy clients. Some individual CPN dealers on the Internet actually sell
numbers that are simply decoded and made up Social Security numbers. This is a highly illegal
method, and is criminal on so many levels. Other individuals have been extremely lucky and
have accidentally generated a second profile with their own Social Security Number without
even realizing it. Here is how. Some people change their names when they get married.
Others change their names for security reasons, and so on. Most of the Credit Bureaus
systems match only the first two letters of the last name, the address, and the nine-digit
number given. For many reasons people move, and change their names, marriage being an
example. The consumer would use his/her current Social Security number with the new
address and new last name, but forget to list any previous addresses. From this mistake, the
new credit profile would be generated based on the new information.
METHOD #1: THE ONLY 100% LEGAL WAY TO OWN AND USE A CPN NUMBER
solely on the user.
2010 CPN SECRETS 38
There is only one legal way to get a new Credit Profile Number. The only way to get that new
CPN number (Credit Profile Number) is to create a Business, Corporation or LLC as it is
known. Easiest most effective way to set up a business which can legally house your CPN
number is to set up a DBA or in some states obtain a Fictitious Business Name.
ADVANTAGES TO DOING THIS
1. You will you get legal protection from your personal assets
2. You can put your personal assets in the Corporation and it will be protected from
personal liability.
3. Under IRS rules and regulations in some business situations¶ obtaining an EIN is not
optional and is require!
After you set up your new personal business structure and under IRS rules and regulation you
will get a new CPN (Credit Profile Number) for your business and, since you will be the CEO
and Owner of the Corporation, the number can then seen as a legitimate CPN for you. Your
Corporation can be used for any kind of purpose but, I do recommend however, that you use
your Corporation for profit. If you have a hobby, skill or talent that's marketable, you can make
money with it under your Corporation. When selecting a business name for your Personal
Business CPN, I suggest the name of your Business, LLC or Corporation should be in your
own personal name. If you are setting a business which you DO NOT plan to use as a
Personal Business CPN, then I would suggest you perform a name search and select the
business name of your choice. What just happened is this: you now have a business and a
new venue for credit. You will have to apply for a Tax ID number and file taxes like any other
business. You now have a CPN housed within your new DBA, LLC or Corporation that can act
as your new source of personal credit.
A LEGAL CPN (CREDIT PROFILE NUMBER) is an assigned number, usually nine digits,
used to obtain credit. For an individual, the CPN is typically a Social Security number assigned
by the Social Security Administration. For a business or corporate entity, it is usually an
solely on the user.
2010 CPN SECRETS 39
Employer Identification Number assigned by the Internal Revenue Service, which is the same
as setting up A PERSONAL BUSINESS PROFILE.
The vast majority of Individuals in the United States are assigned their CPN when they apply
for Social Security. The alternative is to obtain an Individual Taxpayer Identification Number
(ITIN), which is typically issued by the IRS for certain non-resident citizens and for resident
aliens. An individual person can legally have both a SSN and EIN. Under the Law you are not
legally required to provide your SSN, EIN or CPN Number. However, getting approved for
credit will be an uphill battle, if you don't provide some sort of number when you apply for
credit.
A PERSONAL BUSINESS PROFILE U.S. businesses and corporate entities with employees
ARE REQUIRED to have an Employer Identification Number (EIN), which also serves as a
CPN for the entity. A corporate entity can apply for an EIN even if it has no employees. This
also applies to a Limited Liability Corporation or LLC. It is possible and legal to form an
individual DBA, LLC or Corporation to be assigned as an EIN for that entity and use that EIN to
apply for credit, which we term A PERSONAL BUSINESS PROFILE.
Some individuals use this method to "start over with a clean slate." Note that this
is not the same as cleaning up your credit history. You will start with no history,
which typically limits your access to credit. Those who grant credit are generally
aware of this and may proceed with caution when you use an EIN to apply for
personal credit. That said, if you carefully build a good credit history over time
using the LLC's or DBA¶s EIN, you can end up with a good credit rating.
Utilizing an EIN or ITIN to build and establish new credit for personal business
purposes should be the primary goal. Establishing a new business to develop
business credit is the Legal way to establish a Legal CPN. There are numerous
people from entertainers, political figures, actors, business people not just brick
and mortar businesses that are set up as a business a business entity. Such as,
Eddie Murphy, Robin Williams, 50 Cent, Ophrah Winfrey, Bionce Noels, Britney
solely on the user.
2010 CPN SECRETS 40
Spears, ECT. Almost anyone using their name as a business and if they are
famous, popular or wealthy has their name designated as a business entity.
The U.S. Internal Revenue Service (IRS) can issue an Employer's Identification Number (EIN)
for your business. The IRS mandates that in some cases and within some business structures
getting an EIN IS NOT optional. For example, if you're going to have employees or operate as
a corporation or partnership, you must get an EIN for that entity.
Even if you're not required to have an employer ID number (EIN) by the IRS, getting one is
often a good idea.
1. It makes it easier to open a bank account in your business name
2. It will help keep your social security number private.
3. If you want your clients to hire you as an independent contractor, it's another layer of
protection for your clients so that the IRS won't classify you as an employee.
METHOD #2: CREATING A MATCHING CPN PROFILE
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2010 CPN SECRETS 41
If you want to set up a great CPN file you will need to pull a credit report. Matter of Fact,
without the proper software, which can perform safe scan, and lexis nexus checks your CPN
will be virtually dead in the water! In today¶s world of FICO (Fair Isaac Corp), Experian,
Equifax, and Trans Union, were credit software will quickly weed out a bad CPN file from a
good one, understanding the fact that you will need to pull a credit report prior to establishing a
new credit history will save you time and trouble.
MATCHING THE STATE OF ISSUANCE
1) First when creating a matching CPN Profile, you will need to match the state of
issuance (which reflects the first 3 numbers of a social security number). Matching the
state of issuance isn¶t rocket science for most people. You would simple select a
combination of numbers which have been selected as a particular state code within the
social security data base. Below I have included a chart illustrating these comments for
your review.
The area numbers (STATE NUMBERS) are assigned to geographic locations. They were
originally assigned the same way that zip codes were assigned from east to west across the
continental United States. Although most area numbers were assigned according to state or
territorial boundaries, the series 700-729 was originally assigned to railroad workers regardless
of their location. This system was discontinued in 1964.
Area numbers assigned prior to 1972 are an indication of the Social Security Administration
(SSA) office which originally issued the SSN. Since 1972, the area number in SSNs
corresponds to the residence address given by the applicant on the SSN application. In many
regions the original range of area number assignments was eventually exhausted as the
country¶s population grew and therefore the original assignments have been augmented as
required.
The first three digits of a Social Security Number correspond to locations as follows:
SSN State SSN State or Territory
001-003 New Hampshire 449-467, 627-645 Texas
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2010 CPN SECRETS 42
004-007 Maine 468-477 Minnesota

008-009 Vermont 478-485 Iowa
010-034 Massachusetts 486-500 Missouri
035-039 Rhode Island 501-502 North Dakota
040-049 Connecticut 503-504 South Dakota
050-134 New York 505-508 Nebraska
135-158 New Jersey 509-515 Kansas
159-211 Pennsylvania 516-517 Montana
212-220 Maryland 518-519 Idaho
221-222 Delaware 520 Wyoming
223-231, 691-699 Virginia 521-524, 650-653 Colorado
232-236 West Virginia 525, 585, 648-649 New Mexico
232, 237-246, 681-690 North Carolina 526-527, 600-601, 764-765 Arizona
247-251, 654-658 South Carolina 528-529, 646-647 Utah
252-260, 667-675 Georgia 530, 680 Nevada
261-267, 589-595,
Florida 531-539 Washington
766-772
268-302 Ohio 540-544 Oregon
303-317 Indiana 545-573, 602-626 California
318-361 Illinois 574 Alaska
362-386 Michigan 575-576, 750-751 Hawaii
387-399 Wisconsin 577-579 District of Columbia
400-407 Kentucky 580 Virgin Islands
408-415, 756-763 Tennessee 580-584, 596-599 Puerto Rico
416-424 Alabama 586 Guam
425-428, 587-588,
Mississippi 586 American Samoa
752-755
429-432, 676-679 Arkansas 586 Philippine Islands
433-439, 659-665 Louisiana 700-728 Railroad Board*
440-448 Oklahoma 729-733 Enumeration at Entry
IMPORTANT NOTE:
1. Any number beginning with "000" will never be a valid SSN.

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2010 CPN SECRETS 43
2. To date, no area number has been issued after "772".
3. If the same area number appears more than once, it is because certain numbers were
transferred from one State to another or that the area number was divided for use
amongst certain geographical locations.
4. 700-728 number sequence was issued to railroad employees and was discontinued July
1, 1963.
MATCHING THE YEAR OF ISSUANCE
2) The second thing you will need to do when setting up a matching CPN Profile is to
match the year of issuance; which is also called the Group Number, (which reflects the
middle 2 numbers of a social security number). The group number is not related to
geography but rather to the order in which the SSN is issued for a particular area.
Before 1965, only half of the group numbers were used. Odd numbers were used under
the number 10 and even numbers were used above the number 09. In 1965 the system
was supplemented with the assignment of low even numbers and high odd numbers. A
group number of 00 has never been assigned. The group numbers for each area are
assigned in the following order.
01 to 09, Odd numbers

10 to 98, Even numbers
02 to 08, Even numbers
11 to 99, Odd numbers
In each region, all possible area numbers are assigned with each group number before using
the next group number. This means the group numbers can be used to find a chronological
ordering of SSNs within a region. When new group numbers are assigned to a state, the old
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2010 CPN SECRETS 44
group numbers are usually used up first. SSA publishes a list every month of the highest group
number assigned for each SSN area number. For example, if the highest group assigned for
area 999 is 72, then we know that the number 999-04-1234 is an invalid number because even
groups under 09 have not yet been assigned.
When setting up a Matched CPN Profile, you Should Never set up a Matched CPN Profile
with an issuance date prior to your actual year of birth!
When setting up a Matched CPN Profile the year of birth can reflect any amount of years up
to 12 year after your actual birth year will not causing any underwriting or safe scan red flag
issues!
A very common misconception when setting up a matching CPN Profile is that the year
of issuance should match exactly to your actual birth year. That is FALSE because the social
security administration does not rank their social security numbers by exact dates. The social
security administration ranks their numbers by approximate dates and setting up a Matched
CPN Profile with an exact year of issuance could be determined to be issued prior to your
desired year of birth. The reason why you would WANT TO MATCH YOU DOB AND YEAR
OF ISSUANCE is the credit bureaus look to match the applicants file D/O/B with their safe
scan results. In short you should match your D/O/B with the year of issuance because the
credit bureaus actively look for the two to match.
SERIAL NUMBERS
Serial numbers are currently assigned in chronological order within each area and group
number as the applications are processed. However, the serial number 0000 is never used.
Before 1965, when number assignments were still being made from field offices, serial
numbers were not necessarily assigned in chronological order.
solely on the user.
2010 CPN SECRETS 45
INVALID SSNs
Invalid SSNs can be quickly identified if either of the following statements is true. Any field of
the number is all zeroes. The first three digits of the number are above 771 as of May 2005.
³THE PROPER WAY´ TO VALIDATE A CPN NUMBER
3) THE VALIDATION OF A MATCHING CPN PROFILE IS: to assemble the last 4

numbers of your CPN (which reflects the last 4 numbers of a social security number).
Again this is not rocket science but there are rules which apply. Properly Validating a
CPN number is the most important step to Setting up a Matched CPN Profile. In this
step you will need to assemble the last 4 numbers of your CPN Number.
SOUNDS SIMPLE ENOUGH RIGHT? NOT EVEN CLOSE! BUT WHEN DONE PROPERLY
CAN LITTERALLY BE WORTH A MILLION DOLLARS!
This process is not as easy as validating your number through a SSN Validation Site, this
process can be very time consuming and very expensive! During this step one can literally
spends hours if not days just locating an ³AVALIABLE NUMBER VALIDATED NOT IN USE!´ If
you CAN NOT set up a Validated CPN which is free of ANY OTHER PERSONS profile and
one which will pass safe scan and lexis nexus scans, you should consider purchasing a CPN
number from Legal CPN. To Purchase a Validated CPN Follow This Link:
http://www.legalcpn.com/79_99_cpn_salespage.html . Most people fail to be able to
properly set up a CPN because they do not have the proper software to set up and analysis
the number prior to their use. In today¶s credit market environment, banks, retailers and
lenders have moved to using very aggressive credit software which will literally pick apart a
poorly constructed cpn number. GOING TO A SSN VALIDATOR TYPE WEBSITE IS A
COMPLETE WASTE OF TIME AND MONEY! PLEASE DO NOT SPEND AND LOSE YOUR
MONEY! THE ONLY GOOD USE OF THIS WEBSITE AND SERVICE TYPE IS TO MAKE
SURE YOUR CPN VALIDATES AS A ISSUED SSN NUMBER. THIS WEBSITE
solely on the user.
2010 CPN SECRETS 46
WWW.SSNVALIDATOR.COM IS A VERY GOOD RESOURCE FOR THIS TASK

CONFIRMATION.
IF YOU WANT A ³PROPERLY VALIDATED´ CPN NUMBER YOU WILL NEED TO

PULL A CREDIT REPORT TO CONFIRM YOUR NUMBER IS FREE AND CLEAR!
PERIOD!! If you want to build a MILLION DOLLAR CPN FILE; you MUST pull a credit
report to make sure your cpn is free and clear of ANY OTHER USERS and FREE AND
CLEAR of ANY RED FLAGS!
³This Step Can Be Very Time Consuming, Expensive and You Will Need Special
Software.´ I am sure you understand how time consuming the process can become but most
important to note is this process can become very expensive; due to the cost of the credit
reports!
Every time you PUT TOGETHER the ending sequence (the last four of the number) YOU
WILL NEED TO PULL A CREDIT REPORT which will confirm you are not sharing your profile
with someone else and to be sure your number clears safe scan and lexis nexus searches.
WHEN EVER YOU PULL A CREDIT REPORT YOU ARE;
1. Spending money!
2. Opening Another Credit File!
3. You Are Putting The Credit Bureaus on Notice! (Yes the credit bureaus monitor
people who pull credit reports! They also monitor what credit reports you are
pulling!) So please take this as your notice! They have and they will shut down your
credit report account and they will stop you from logging in. This headache will force
you to contact another credit reporting company and you will have to set up another
account using a different company to regain access to pull credit reports. The bureaus
solely on the user.
2010 CPN SECRETS 47
understand the credit report is key to so many credit needs from credit repair, trade
lines and CPN¶s.
4. When you pull a credit report you are also linking your file information such as (Your
Name, New Number, DOB, and ADDRESS) to that particular credit file!
5. If you DO NOT have the resources to safely validate a CPN number, PLEASE DO
NOT WASTE YOUR TIME! Chances are great you will have a CPN File which is
linked to someone else or you will lose TOO MANY Good Addresses opening credit
files inspecting it to confirm it is a good credit file.
Whichever option you choose, you are going to end up in trouble if you don¶t protect your new
credit profile, so don¶t mess this up. You definitely don¶t want to have your old credit linked with
your new credit. Assuming you have received your new number from Legal CPN or used the
only 100 percent legal way to have a CPN Number, you can use your number for a variety of
things, such as opening bank accounts, filing taxes and obtaining business licenses. I will not
explain what you can and cannot do with your new credit file, but the best advice I can give is
to READ ANY AND ALL APPLICATIONS YOU ARE SUBMITTING TO MAKE SURE YOU
ARE ACTING PROPERLY WITHIN THAT CREDIT SITUATION.
BUILDING A MILLION DOLLAR CPN FILE:
³YOU WILL NEED TO PULL A CREDIT REPORT WHEN BUILDING A MILLION

DOLLAR CPN FILE.´
BUILDING A MILLION DOLLAR CPN FILE: You will need to pull a credit report (and in
most cases several credit reports) when building a million dollar CPN. You will need to
pull a credit report so you can discover any red flag issues and see your CPN
profile from the same view point as the credit bureaus would look at your credit
report. Common sense would tell you that you should make sure a boat is watertight
solely on the user.
2010 CPN SECRETS 48
before you set sail on a long ocean expedition. Common sense also demands that you
fuel and inspect your airplane before you take flight. The same is true if you decide to
use CPN as a new credit profile! The Key Point Here Is; you should understand your
CPN profile prior to using it!
As a Rule of Thumb; You SHOULD, pull a credit report on your CPN Profile prior to
using your CPN! You should be the first person to know if you have any issues with
your CPN!
OPENING YOUR CREDIT FILE IN THE BUREAUS
Generating a new credit profile by way of any method can be done simply by pulling your credit
in a number of ways. You can literally do anything to accomplish the generation of your new
credit profile in the credit bureaus database. You will have to eventually have all three credit
reports pulled, whether it is pulling it yourself, or going to apply for credit, in order to have
record of the file in all three credit bureaus.
If there is ³No Record found´ you were successful in not linking your previous credit profile with
your new one. Having inquiries on that credit file, will eventually build one, as well as getting
accounts and so on. Some believe it generally takes upwards of 30-45 days for any new credit
inquiries to appear on your credit report and hence it will take time to generate a new credit
profile, this is false an inquiry will appear on a credit report the same day! New Accounts can
take as long as 30-45 days or as long as it takes for it to be reported for the first time.
Next it should start to say ³Insufficient Credit History´ or something similar to let you know a
successful new credit profile has been created. We would suggest going to someone to pull
your credit this way you will fulfill 2 goals. The first goal you will fulfill is to create an inquiry on
your file, which is great for a newly created credit file. Second, you will have a current up to the
minute credit report. We have found it is not best to pull your credit report by way of any online
credit report web sites such as true credit, annual credit report, fast credit report, or any online
solely on the user.
2010 CPN SECRETS 49
service, because most of those companies resell downloaded credit reports that can have
delayed information which is not accurate up to the minute.
Trade lines are great for a credit profile once it has been successfully created. Wait for a
record of inquiries to appear before you attempt to put credit lines on the profile. Otherwise, the
system will not know where you are trying to attach the credit lines. Generating new credit
should be done by those who have a clear plan of what they are trying to accomplish.
OUR SUGGESTION IS TO SET UP A DBA, LLC OR CORPORATION WITH YOUR CPN

PROFILE
Our sincere suggestion for you is that you establish a DBA immediately following the creation
of your second credit file. The DBA will act as protection for your new profile. Utilize your new
profile to establish the corporation and then apply for credit and bank accounts using your
corporate tax ID as opposed to this clean profile. Get a corporate phone, corporate car, and
home. Do not risk defaulting with your new profile on anything. Let your corporation act as a
barrier in case anything ever goes wrong. Establish corporate credit accounts and use this new
number sparingly. If you establish a corporation, any future defaults or problems will be
associated with the company and not your new clean number.
You can easily form a corporation or an LLC for under $250 by filing at places like
www.legalcpn.com in the State of Delaware. Delaware has some of the cheapest, most timely
business filing processes, has excellent tax laws, and allows you to keep your personal
information private. Check out the ³Why File in Delaware?´
TIPS FOR BUILDING UP AND MAINTAINING YOUR CPN PROFILE
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2010 CPN SECRETS 50
• Do not ever use a bank or financial institution that already has a record of your name in
its history.
• Don¶t ever use an old address or old phone number as your identification at institutions
where you have established accounts under your new credit profile.
• Use your clean profile wisely and do not use it flagrantly; you only get one chance with
it, and it is important you protect it, so as to not have further snags with your credit.
• Apply by mail instead of by phone or in person for credit cards and other credit related
items.
• Only use your name (new if applicable), new phone number, new address, new or
current nine digit credit number, and the year of your birth on all credit applications.
• DO NOT PROVIDE ANY OLD CREDIT DATA.
• Don¶t be alarmed if you get denied. That is good; you are building a credit file ± It has to
have record of first inquiry ± 30-45 Days.
• Apply for a secured Visa Card (This is a Visa Card that correlates with your savings
account on deposit at the lender/bank). After receiving your secured credit card, you
can utilize it to attain more credit because no one will realize it is secure. Major
department stores are excellent places to start applying with your secured credit card.
• Build credit using this secured card. You should pay off balances as quickly as you can,
and use it to leverage a credit file that is positive.
• Don¶t ever give out previously used credit references.
• Avoid any mixing up of people who might have had contact with your previous credit file.
• Don¶t mix old accounts and bank accounts with new creditors.
• Avoid having your wife/husband join with you on credit applications; joint accounts are
an easy way to link credit.
• Do not proclaim knowledge or information that you know about credit.
• If you are asked why you have no credit, say you have been out of the country of
traveling; don¶t make a big deal about it.
• Do not go overboard applying for new credit; any red flags might cause you to lose
standing quickly with the credit bureaus.
solely on the user.
2010 CPN SECRETS 51
• Form a corporation using your new credit file, and put all major liabilities in the corporate
name, so your personal credit is not damaged by any unfortunate events.
• Do not ever fill out a government form or application with the EIN number method; it
would be considered a crime.
• Absolutely do not lie on any applications about any past bankruptcies or foreclosures,
even though it might not be on your credit file. It is highly illegal to lie on loan
applications exceeding $50K and it is punishable with federal prison time. Do not
defraud!
THE COMMON LAW NAME PRINCIPLE
One can make use of any name he/she likes, and does not have to notify or tell anyone about
it. This is the little known common law name principle. This name you have given yourself to
conduct business generally is separate from your real name. There¶s no need to file for a name
change or anything; using it is the best way to make it work. You can use this principle as long
as it is not meant to defraud. If it is placed on a federal application, it is considered a crime.
PROTECTING YOUR CPN
Here are a few tips to keep your new credit profile clean and out of trouble.
• Set up a corporation using your new credit profile, and establish corporate bank
accounts and credit, instead of putting your clean profile on the line.
• Consider opening a secured credit card and savings account at a bank you have never
been to, and use it to build your credit without having the hassles of high interest rates,
as well as shield cash assets.
• Consider getting a Panamanian trust using your new credit file; it usually can run around
$1,500 and is completely private and secure to keep assets.
solely on the user.
2010 CPN SECRETS 52
• The best thing to do is use your new credit file as something to keep secretive with you,
and establish corporations, trusts, and accounts using your corporations linked to your
new credit file.
• Institute double protection with a corporation or trust, and let your credit files develop
and grow without risking collections or derogatory items on your credit.
You absolutely must be careful about what information you submit to attain credit. You also
must be extremely careful with how you treat your new credit profile. Do not let the mistakes of
the past continue to haunt you.
HOW TO ESTABLISH CREDIT HISTORY ON YOUR CPN PROFILE
SECURED CREDIT CARDS: Most major financial institutions will offer secured credit cards
with your savings accounts. This means that you have a credit limit based on the amount of
cash you hold in your savings, give or take a few dollars. This secured card is read the same
way and looks no different then an unsecured credit card. When you receive your card in the
mail, you should use it as leverage to attain other small lines of credit. Many facilities such as
department stores, and gas cards, will give you one of their cards just because they see you
have a major credit card. (Note: Too many applications might lower your chances of getting
approved, so pick ones you really want.)
SEASONED TRADELINES: Large lines of credit generally are given only to those who have
large credit histories with no derogatory items. Seasoned trade lines have been used for many
years by major lenders and individuals trying to get qualified for specific loans. One might
qualify for the house, but not a good rate; however, with a seasoned trade line, the rate
becomes much more favorable for the client. Mortgage brokers and many lenders understand
trade lines and will work with you even if you mention that you are going to be using them. Do
not be afraid to mention them to your loan officer; most understand their benefits and how they
solely on the user.
2010 CPN SECRETS 53
help people achieve greater success in America as a whole. Always use credit cards. With
Trade lines, you can add years of credit in 45 days of less.
SHARED ACCOUNTS: Shared accounts were first created and mainly used by parents for
their children. The practice has helped countless students be able to get funded for their
college loans. It is our suggestion that you use this feature to acquire excellent credit very
quickly. If anyone in your family or realm of friends has stellar credit, and you trust to always
pay on time, you might want to ask them to add you to their account. Explain that when they
receive the card in the mail they should chop it up. Say that your intent is not to access the
money on the account but to use it purely for credit history and credit building purposes. This is
only if you absolutely trust and know the person not to miss a payment; you do not want to
collect any bad credit either.
Establish a corporation or LLC and take your personal credit out of the picture. Often,
establishing business credit can create a better situation then having stellar personal credit.
Businesses generally cannot get lines of credit if they are not over a certain age, but aged
corporations can be purchased just as easily as forming a new one. Getting trade lines of
credit, corporate cars, phones, and property all hold beneficial tax incentives also.
solely on the user.
2010 CPN SECRETS 54
CHAPTER 5: SEASONED TRADELINES
SEASONED TRADELINES
Seasoned Trade Lines also known as ³Credit Piggy-backing´ is a term that describes an
authorized user µpiggybacking¶ off the strong credit of another (normally a parent or spouse).
When the individual is added as an authorized user, their credit history with that account is
automatically updated and literally overnight there is an improvement to one¶s credit score.
An "authorized user" is someone who is allowed to use another individual's credit card without
being responsible for the bill. That sounds like a sweet deal for the authorized user. But
millions of people with good credit use this strategy to help their children or spouses build a
solid credit history. Thanks to a recent turnaround by Fair Isaac, developer of the widely used
FICO score, this avenue to good credit will continue to be available. First, some background:
When a credit card holder designates a child, spouse or other individual as an authorized user,
the card holder's payment history appears on the authorized user's credit report. If the card
holder has stellar credit, it will boost the authorized user's credit score. More than 50 million
consumers are listed as authorized users on another person's credit card, according to Fair
Isaac.
Fair Isaac officials were concerned that the practice, known as piggybacking, allowed
consumers with bad credit to artificially inflate their scores. In an effort to stop this practice,
Fair Isaac announced last year that its new scoring formula, known as FICO 08, wouldn't
solely on the user.
2010 CPN SECRETS 55
recognize authorized-user accounts. Critics said the change would lower credit scores for
millions of consumers, forcing them to pay more for everything from mortgages to car loans.
About 1% of consumers would no longer have enough of a credit history to get a score at all,
according to a survey by Credit.com, a consumer website. Without a credit score, it's very
difficult to qualify for a loan. Lenders, meanwhile, raised a regulatory concern. They told Fair
Isaac that they used FICO scores to comply with the Equal Credit Opportunity Act, which
requires lenders to consider a spouse's credit history when weighing a potential borrower's
credit risk. If Fair Isaac stopped recognizing authorized users, lenders said they wouldn't be
able to use FICO scores to meet that requirement.
In response, Fair Isaac sent its scoring model back to the laboratory and continues to
recognize authorized-user accounts. Fair Isaac has declined to provide any details on how it
will again try to close the piggybacking loophole.
"This is great news," says John Pittman, president of educational services, who is an
outspoken critic of the original FICO 08 proposal. "I'm thrilled with Fair Isaac's willingness to
take a second look at this and deny Fair Isaac such board sweeping power which would have
negatively affected millions of people."
Banks have become completely reliant on the FICO (Fair Isaac Corp) scoring model.
Essentially, the FICO score designed a mathematical algorithm that can quickly analyze a
person's credit history stored on file with one of the three Credit Reporting Agencies (Experian,
Equifax, or Trans Union) and define it by using a 3 digit score ranging from 300-850. Banks
approve loans and better interest rates for people with scores closer to 850. According to
www.MyFico.com, 30% of your score is calculated by the ratio of your credit card limits versus
their balances. The bigger the difference between your credit card balances and combined
limits, the higher your credit score will be.
Legal CPN adds your name as an Authorized User on one of our high limit, low balance credit
cards. An AU is someone that has the ability to use the account, but not make any changes on
it. The original intent of the AU position was to give parents the ability to add their children to
solely on the user.
2010 CPN SECRETS 56
their accounts, which gives them a score BOOST. While the AU does not receive the physical
card or account number, you will receive the amazing benefit of having that particular credit
card's entire credit history, limit, and balance "copied and pasted" on to your credit report.
Imagine what $60,000 in available credit would do to your score. This extreme increase in the
limit to balance ratio on your report will BOOST your credit score in less than 60 days.
SAVINGS EXAMPLE:
The higher your FICO scores the less you can expect to pay for your loan. For example, on a
$216,000 30-year, fixed-rate mortgage:
If your FICO score is Your interest rate is your monthly payment is

760 - 850 5.8% $1,267
700 - 759 6.02% $1,298
680 - 699 6.2% $1,323
660 - 679 6.41% $1,353
640 - 659 6.84% $1,414
620 - 639 7.39% $1,494
As you can see in this example using today's national rates, a person with a FICO score of 760
or better will pay $227 less per month for a $216,000 30-year, fixed-rate mortgage than a
person with a FICO score of 620 that's a savings of $2,724 per year. You can see how
essential improving your credit scores can be if they are low, and also how important it is to
keep them high if they are good.
USING SEASONED TRADE LINES AS A CREDIT BUILDING TOOL
The authorized-user designation offers a valuable way for parents to help children learn how to
manage credit without giving them their own credit card or for anyone who needs a credit
boost to receive one. There's no downside for the child, because an authorized user has no
liability for the account. If the parent falls behind on payments, the child can ask to have the
authorized-user designation removed from his or her credit report. "When you have someone
solely on the user.
2010 CPN SECRETS 57
as an authorized user on a credit card, you give them an escape route." "If you lose your job or
get into a horrible financial mess, their not dragging them down with you."
Large lines of credit generally are given only to those who have large credit histories with no
derogatory items. Seasoned trade lines have been used for many years by major lenders and
individuals trying to get qualified for specific loans. One might qualify for the house, but not a
good rate; however, with a seasoned trade line, the rate becomes much more favorable for the
client. Mortgage brokers and many lenders understand trade lines and will work with you even
if you mention that you are going to be using them. Do not be afraid to mention them to your
loan officer; most understand their benefits and how they help people achieve greater success
in America as a whole. Always use credit cards. With trade lines, you can add years of credit in
45 days of less.
SHARED CREDIT ACCOUNTS
Shared accounts were first created and mainly used by parents for their children. The practice
has helped countless students be able to get funded for their college loans. It is our suggestion
that you use this feature to acquire excellent credit very quickly. If anyone in your family or
realm of friends has stellar credit, and you trust to always pay on time, you might want to ask
them to add you to their account. Explain that when they receive the card in the mail, they
should chop it up. Say that your intent is not to access the money on the account but to use it
purely for credit history and credit building purposes. This is only if you absolutely trust and
know the person not to miss a payment; you do not want to collect any bad credit either.
Establish a corporation or LLC and take your personal credit out of the picture. Often
establishing business credit can create a better situation then having stellar personal credit.
Businesses generally cannot get lines of credit if they are not over a certain age, but aged
corporations can be purchased just as easily as forming a new one. Getting trade lines of
credit, corporate cars, phones, and property all hold beneficial tax incentives also.
FACTS ABOUT PRIMARY AND ASSUMABLE TRADE-LINES

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If I had to sum up Primary Trade-lines and Assumable Trade-lines in a couple sentence I

would say, ³As of January 2009 Primary Trade-lines has ceased to be effective due to Non
Reporting Issues.´ At best! If someone was able to report REAL PRIMARY TRADELINES they
would post to the account as a new account typically less than 90 days of seasoning; which is
useless as an effort to create or boost a credit score.
The general belief of Primary Trade Lines is, ³There illegal, fabricated credit building accounts
that can be added to your credit file via unscrupulous "debt brokers" or data companies.´ What
I have seen from first hand knowledge through 2009 is, ³Adding Primary trade lines is the
quickest ways to raise eyebrows of Fair Isaac (FICO), Experian, Equifax, and Trans Union who
will locate these accounts and shut down the reporter, shut down the credit report where it
appeared and is even shutting down persons who has pulled a flagged credit report.
Most honest brokers, dealers, vendors, and retailers who made extra money reporting
fraudulent credit accounts (primary trade-lines) has stopped reporting these accounts due to
fear and a real threat that they will have they credit reporting and credit pulling abilities
stopped.
The new scam I have seen is the claims of adding primary trade lines or transferring seasoned
primary trade lines into a new party's name and calling it assumable trade-lines. The truth is
these companies have no business purporting these claims because what they're really doing
is enticing a customer to pay them for a made-up payment history on an account that never
existed, for a promissory note that was never signed. Not to mention the fact that 100% of
these vendors can not report a primary trade-line (WITH ANY REAL HISTORY) or post any
such ³Assumable Trade line.´
This new scam where the vendor claim to allow a new consumer to, Take over an obligation
where someone else left off, is just that a scam! During their pitch they will say, ³The banks
are willing to settle and restructure these accounts to make these transactions work.´ Do not
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fall for the primary trade-line and assumable trade-line, SCAM; these types of trade-lines do
not post you will be waiting forever!
Primary trade-lines and assumable primary trade lines once monopolized the credit
enhancement industry, and now only a few sparse Craigslist postings remain. Meanwhile, the
ONLY GUARANTEED W ay to Boost Your Score is Authorized User Trade Lines! As stated
earlier; Fair Isaac admits to sending its scoring model back to the laboratory and continues to
recognize authorized-user accounts. Fair Isaac has declined to provide any details on how it
will again try to close the piggybacking loophole.
WHAT IS THE BEST SOLUTION TO BOOST YOUR SCORE LITTERALLY OVER-NIGHT?
Authorized User Trade-lines! The trade-line credit building strategy lives on!
http://www.legalcpn.com/seasoned_tradelines.html
TRADELINE VEDORS
Our suggestion is contact Legal CPN. Legal CPN guarantees their trade lines will appear
within 60 days or your money back. Typically the seasoned trade lines will appear within 30
days and in most cases within a week or two. You can view the different trade lines, limits,
balances, prices and posting dates for each trade line by visiting their website;
http://www.legalcpn.com/seasoned_tradelines.html .
Now that your credit score is boosted what can you do? You can apply for your loan; apply for
the job you wanted, or for premium car or home owners' insurance! Start your own business!
But whatever you do, remember one thing, this is not a ticket for a shopping spree. Be
responsible with your new credit score. Be smart. Plan ahead and stick to your plan. It is very
easy to succumb to the temptations of the credit world, but it is those of us who can manage
our emotions with self control and logical reasoning who will become masters of our financial
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future. A good place to start is by repaying the Banks who have helped you achieve this good
credit standing. Citibank, Capone, Bank of America. They have given you a step up in the
world. Show them your appreciation by giving them the first shot at earning your business. Go
to their web site and fill out an application for the card you want, and one that you know you
can responsibly manage. Remember, a good credit customer is one who can pay off their
ENTIRE balance in full every month. Practice this and it will repay you for the rest of your life.
Also it is very important that you read ANY contract or application you may look to complete to
be sure that you are completing the application correctly with the information for which the
application is requesting. Again it is my statement that you must read any application prior to
placing any information on that application.
WHAT IS THE DIFFERENCE BETWEEN PRIMARY TRADE LINES AND AUTHORIZED

USER TRADE LINES?
The Federal Trade Commission considers the addition of seasoned primary trade line¶s to be
bank fraud. ³From my experience, primary trade line¶s are a myth; similar to a 4 leaf clover, a
unicorn, a magic lamp, or finding a pot of gold at the end of a rainbow.´ Matt Cohen Legal CPN
By way of years of experience and literally thousands of clients; I have only seen a real
primary trade lines posted to a credit report 1 time. At which point in time the credit report was
faxed to me as ³proof´. Which means someone could have performed a cut and paste job in
an effort to extort money from our clients by them trying to make us believe they could post
primary trade lines. For the most part, primary trade lines are in fact a myth which will never
post!
We specialize in the addition of seasoned authorized user trade lines, which continue to deliver
the same benefits they always have. We Do Not offer business credit trade lines. All cards we
sell are personal accounts which will report to XPN, TU, and EQX. Business accounts do not
help your FICO score, unless you were trying to get credit history for a new business.
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WHAT IS THE BEST WAYS TO OBTAIN ³FREE´ PRIMARY TRADELINES
Our suggestion for obtaining primary trade lines is to not spend a dime because you can get
them FREE. Yes, you can get primary trade lines absolutely free. Here are a few suggestions
for landing free primary trade lines. http://www.legalcpn.com/credit_cards.html
.
• Auto Primary Trade lines are the easiest free primary trade-lines available.
• Revolving Accounts ± Revolving primary trade lines are the second easiest primary
trade line we have seen secured. Examples of revolving primary trade lines are Capital
One Limited History Card, Orchard Bank Limited History Card, and Citi Bank Limited
History Credit Card.
• Installment Accounts ± These accounts can be easy to secure, such as Rent-a-Center

installment line types, but accounts such as jewelry, furniture, and loan accounts are by
nature more challenging to secure.
• Mortgage accounts ± We advise our clients to avoid these, and suggests that they use
CPN to secure land contracts, lease, rentals, and owner financing.
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CHAPTER 6: PERSONAL CREDIT REPAIR
Repairing your personal credit is a process that you should take very seriously. Hiring a credit
repair company with some monthly fee will get you nowhere with the credit bureaus. Disputing
items for no reason is a good way for the credit bureaus to flag your letters for up to 12
months. The key to repairing your credit is using leverage in the form of technicalities. Once
you understand the technicalities, you will realize that repairing credit is a time intensive
process that you should not trust to some brand new credit repair company.
STEP 1: PULL YOUR CREDIT REPORT
You can pull your credit once a year according to federal laws. To do so free, go to:
www.annualcreditreport.com Fill out all of information needed. If you prefer to phone, call 1-
877-322-8228 and order all three reports by mail. It will take 5±10 business days to receive all
three reports. For faster results, have your credit report pulled; this will guarantee that you will
get an up-to-the-minute report complete with such information as account numbers and
contact information.
SOURCES YOU CAN USE TO PULL YOUR CREDIT REPORT FOR A FEE. This will assure
that you get an actual credit score with full account information such as account numbers and
contact information.
www.pullmycredit.com
www.myFICO.com
www.equifax.com
www.experian.com
www.credit.com
www.truecredit.com
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STEP 2: DISPUTE ITEMS
Disputing Items on your credit report is going to be based primarily on technicalities. Any
mistake in the reporting of the credit will be grounds for deletion. Obviously, you will want to
keep good credit even if it is not reported correctly. Bad credit items, even ones that say they
are verified, also might contain numerous errors that are grounds for deletion. Do not send
template letters from credit repair companies; the bureaus can label your mail and requests as
frivolous for as long as twelve months if they come from some credit repair company¶s web
site.
THE KEY TO WINNING DISPUTES: ³LOOK FOR INSTANT GROUNDS FOR DELETIONS
ON YOUR CREDIT REPORT´ SUCH AS:
1. Missing or Incorrect Name of Creditor

2. Missing or Incorrect Account Number
3. Missing of Incorrect Balance
4. Missing or Incorrect Last Date of Payment
5. Missing or Incorrect Credit Limits
6. Delinquencies and Late Pays after Close
7. Undated Late Pays
8. Incorrect Account Types
9. Missing or Incorrect Date Of Last Activity (DOLA)
10. Missing or Incorrect Date Updated (DU) Or Date Verified Discrepancies these are the
main items that will help you disqualify your debt. Look for discrepancies across all three
credit bureaus reports, and if you see any ask for verification from the original creditor
regarding the information.
The information gathered from the creditors themselves can be used against the credit
bureaus later if anything is found to be reported inaccurately. The key in disputing
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2010 CPN SECRETS 64
negative items is that they are factual disputes. If you can find any discrepancies
amongst your reports, use them to get those items removed. Once you write to the bureau
asking politely for a deletion of the record due to the report containing incorrect information,
and that it is preventing you from doing something for a family member or some other sad
story you can come up with, the credit bureaus might simply delete your debt right then and
there. If they update the information instead, you still have an option. If they claim to have
verified the information and it still does not conform to what your original creditor has told you,
they have violated the law, and now you can write back explaining what occurred and once
again ask for a deletion. Example Letters are included in a later section.
After filling out your information on the Annual Credit Report web site, you can begin disputing
items that you find are incorrect right away using Experian. Our suggestion is you look
carefully for incorrect items that you clearly can see. From the Annual Credit Report
homepage, select your state, and on the following page, select your Experian report. Select
the Dispute button and give a clear explanation for the dispute. You should receive an e-mail
confirmation of your investigation within 5±10 business days. Once you receive confirmation,
note what has been deleted and what remains on your credit report. What remains is what
must be disputed by certified mail.
• Equifax items cannot be disputed until you receive the hard copy of your credit report in
the mail; then you should follow their instructions.
• Trans Union disputes are best handled by phone with their fraud department at +1-800-
680-7289
On average, three out of 10 collections will be deleted through this online dispute process,
because of the lack of good records and data by the credit bureaus within the bounds of the
Fair Credit Act. (Certified Mail disputes)
When writing credit bureaus, you must include a copy of two forms of state ID. Make your
dispute letter to the point. They get thousands of letters a day and you must make your letter
clear and concise. Tell them directly why you are writing and what is wrong with the derogatory
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2010 CPN SECRETS 65
item. It is best to write one letter per incorrect item instead of telling them everything wrong in
one letter. This will give you the opportunity to send in more dispute letters on the same item
and possibly try and get it deleted a second or third time.
THE FOUR STEPS TO SUCCESSFUL CREDIT REPAIR:
1. Get all three credit reports

2. Call up original creditor and get the official information
3. Look for discrepancies amongst all reports
4. Write factual dispute letters to credit bureaus
We provide excellent examples of what the letters should look like later on.
Date of Last Activity (DOLA) explained ± Equifax is the only credit bureau that actively lists it
on your profile. For Trans Union and Experian you must search for it. On the Experian credit
profile, you might see something like a charge- off and a specific date it was charged off.
Whatever those date is, count backward six months; that is your DOLA for Experian. Trans
Union will list an estimated time of removal. You will need to count back seven years to get the
DOLA. The best place to get your DOLA is from the creditor, and then looks for any
discrepancies in the dates on your credit report. Anything incorrect is grounds for deletion. If,
for some reason, the DOLA on your credit report and that from the creditor do not match, it
could have gone through a process of re-aging; that¶s where the debt gets re-aged when it
switches hands between creditors.
CREDIT DISPUTE LETTERS
For proven credit repair letters with guarantee click this link:
http://www.legalcpn.com/credit_repair_letters.html
When repairing your credit, the first thing you will want to do is keep all of your dispute letters
short and simple. You do not need to go on about laws or anything of the sort. The credit
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2010 CPN SECRETS 66
bureaus and creditors are well aware of the law. You obviously should write it on a standard
sized sheet of paper, and not some small notepad paper. Just like any professional letter, you
should put your name, address, and so on in the upper left to let them know who you are.
SENDING LETTERS TO CREDITORS AND COLLECTORS YOU WILL NEED TO INCLUDE:
1. Your Name, Address, City, State, and Zip

2. Name of Creditor or Collector
3. The Creditor¶s/Collector¶s Address, City, State, Zip
4. Current Month, Date, and Year
5. The account number the letter concerns
For Letters to Credit Bureaus, you will need
1. Your Name, Address, City, State, and Zip

2. Name of the Credit Bureau
3. The Credit Bureau¶s Address, City, State, Zip
4. Current Month, Date, and Year
5. The report number the letter concerns
6. Your Social Security Number
7. Your Date of Birth
8. A Previous Address (if applicable)
9. Copies of 2 Government-Issued IDs (License, Passport, etc.)
The next few examples of letters are by no means substitutes for you creating your own letters.
By personalizing you letters but still keeping them very quick and efficient, you will have a
more positive response from everyone involved.
EXAMPLE LETTER TO SEND TO CREDIT BUREAU
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You¶re Name
123 Your Street Address
You¶re City, ST 01234
The Credit Bureau

Bureau Address
Any town, State 56789
The Current Date
In Regard to Report # ()
To Whom It May Concern:
Text You Will Write Goes Here.

Sincerely,
Your signature
You¶re Name
SSN# 123-45-6789
Date of Birth
Previous Address (if applicable)
(Attached are copies of two forms of government issued ID)
EXAMPLE LETTER TO SEND TO CREDITOR / COLLECTOR
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2010 CPN SECRETS 68
You¶re Name
123 Your Street Address
You¶re City, ST 01234
The Credit Bureau

Bureau Address
Any town, State 56789
The Current Date
In Regard to Account # ()
To Whom It May Concern:
Text You Will Write Goes Here.
Sincerely,
Your signature
You¶re Name
EXAMPLE OF TEXT: TO WRITE IN LETTER
Request for Free Credit Report Guidelines from each credit bureau
Text: I am writing to receive a free copy of my credit report. Please mail it to me: how to or if I
qualify to receive a free credit report. If I qualify for the free report, I will request it.
Thank you,
EXAMPLE OF TEXT: INCOMPLETE REPORTING ISSUE
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2010 CPN SECRETS 69
You currently are reporting an incomplete item that is missing (whatever is missing). This is
causing economic hardship. Please delete the item completely. The Account Number is () and
the name on the account is ().
Thank you,
Text: I am corresponding with you about account name and account number. This listing is
missing (whatever is missing) and is causing me (problem). Please delete it immediately.
Thank you,
Text: On date (), you updated account name and account number after our initial
correspondence. The listing still is incomplete and I request that you delete it.
Thanks,
EXAMPLE OF TEXT: INCORRECT BALENCE
I am corresponding with you to dispute account name and number. The balance is not correct.
Please delete it.
Thank you,
EXAMPLE OF TEXT: INCORRECT CREDIT LIMIT

The credit limit on my account name and number is incorrect. You can easily see through my
attached last statement that the high balance was (). Could you please update the listing with
the correct high balance?
Thank you,
EXAMPLE OF TEXT: CREDIT LIMIT DISPUTE WHEN ACCOUNT IS CLOSED
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2010 CPN SECRETS 70
I am disputing account name and number. The report is showing a credit limit of (). How can a
closed account have a credit limit? I demand this be deleted immediately. You have allowed
this, and it is damaging my credit score.
Thank you,
EXAMPLE OF TEXT: LATE PAYMENT DISPUTE

I am writing because the account name and number contains incorrect information because of
an undated late payment. Please delete it immediately.
Thank you,
EXAMPLE OF TEXT: INCORRECT ACCOUNT TYPE

I am writing you about account name and number. It contains inaccurate information regarding
my account type. Charged off accounts cannot be open. Please delete this immediately.
Thank you,
EXAMPLE OF TEXT: DATE OF LAST ACTIVITY

I am writing to have you verify the date of last activity with the creditor for account name and
number.
Thank you,
EXAMPLE OF TEXT: DATE UPDATED DISCREPANCY TEXT

On (previous date), I began a dispute regarding account name and number. It appears no
actual creditor investigation actually was done, because the date verified did not change.
Please delete this item immediately.
Thank you,
EXAMPLE OF TEXT: PAST DUE AMOUNTS AFTER ACCOUNT IS CLOSE

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Account name and number was closed on (). However, the account appears to show
delinquencies after the closed date. Your verification procedures have allowed this, which has
been harmful to me and my family. Pease delete it immediately.
Thank you,
EXAMPLE OF TEXT: DATE OF LAST ACTIVITY FOLLOW-UP LETTER

I am writing to inform you that you verified the date of last activity for account name and
number. The records of the creditor (which are attached) clearly show that the DOLA verified
has violated laws of the FCRA. Please delete the item immediately to prevent civil liabilities.
Thank you,
EXAMPLE OF DISPUTE LETTER

I am writing you to dispute account number.
Thanks,
EXAMPLE OF TEXT: REQUEST FOR CREDITOR DOCUMENTATION

I am writing to request a copy of the billing statement that shows the date of last activity and
the last time I made the required minimum payment. I have enclosed $ for the processing fee.
Please fax the requested information to (fax number).
Thank you,
We hope that these examples help you to write future credit repair letters. It is up to you to take
the time to find the problems on your credit report. It is a lot of work, and the payment is not
immediate. Over the long run, if you can get your debt removed because of technicalities, you
can save yourself thousands of dollars interest when you want to buy a car or a house. These
text examples are only to explain the greater concept here.
1. Ask only for one thing at a time

2. Do not make reference to any laws
3. Make it simple, and explain what your problem is
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2010 CPN SECRETS 72
4. Base the dispute on a fact you can back up

5. Attach any information that proves the technicality
6. Do not tell creditors or collectors anything
STEP 3 - REMOVING ITEMS
If you have found discrepancies in your credit reports, you can demand that they be deleted.
Even if the debt is real, if you write the bureaus and explain a factual technical error and ask
for deletion, they just might do it. Generally, one can find multiple incorrect items on a credit
listing; that¶s why you should send the complaints in one at a time to assure that you will have
multiple attempts to have the item deleted. Leverage is key with the credit bureaus, and if you
can catch a reporting error, they generally have broken some type of law. Just inform them in a
quick and efficient manner of the incorrect reporting error and how it is causing you harm, and
your debt just might be swept under the rug.
The best advice is to get all of your credit reports, and separate reports from the creditors
themselves. Then, look for factual discrepancies and pay close attention to the DOLA. Make
your disputes short and sweet, and don¶t threaten any legal action. Ask for deletion, not that
they update the listing. Make sure you ask only for one change each time, so that you can
have multiple chances to have it deleted. With this information, you should be able to handle
credit repair yourself.
If you think doing it yourself is hard, try paying someone $39 a month, to do all that work. I
doubt you will see any work done at all and you would have wasted $39 a month for an
extended period. Procrastination is not welcome in the field of credit repair. Do not trust
someone else with such intricate and important work unless you plan to pay big bucks for a
credit repair attorney. Do It Yourself ± Trust Yourself.
STEP 4 ± SETTLEMENT
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2010 CPN SECRETS 73
You should resort to settlement only if the debt collection agency can prove with
documentation that you owe it money. If there are records and contracts proving the debt are
yours and you could not delete it on a technicality, then contact the collection company by
finding the toll free number on your individual credit report and begin the settlement process.
• Remember that settling all your debt at once while your score is at its lowest will allow
you the greatest leverage against the collection companies so you can settle the debt
for a fraction of the amount
• Remember that collection agencies always will take less than what they ask for. The
collection agency holding your debt has purchased it for a fraction of its original value.
Call a collection agency only on one of the last days of the month because this is when
they are going to write their profit and loss reports for the month. The busiest time of
year for collections agencies and credit bureaus is from Thanksgiving to the end of the
year. We suggest that you attempt to clean your credit when they can focus on your
case the least, and hence increase your chances for an easy deletion. (Always offer
them much less money than they are asking for, because they probably paid pennies on
the dollar for your debt.)
For proven credit repair letters with guarantee click this link:
http://www.legalcpn.com/credit_repair_letters.html
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CHAPTER 7: SIMPLE STEPS TO ESTABLISHING BUSINESS CREDIT
In order for your company to thrive, it is critical to establish a business credit identity separate
from your personal credit identity. Once that credit identity for your business has been
established, the next step is to continue to build your business credit rating. You can minimize
your efforts, which will mean it will take quite a bit of time to improve your business credit
rating, or you can maximize your efforts, which will result in much quicker results.
Similar to your personal credit, your business credit profile is made up of many factors,
including how long you have been in business, your company¶s assets, and the history of your
payments. By focusing on each of these components and making smart decisions about how
to improve each of them, you can continue to build business credit and improve your overall
credit rating.
WHY BUILD YOUR BUSINESS CREDIT PROFILE?
• Are you looking for a business loan or financing? Been turned down?
• Do you need a business line of credit for working capital or growth?
• Do you want to lease or finance equipment for your business?
• Would you like to stop having to personally guarantee every loan?
• Know how to get approved with more than 70 retailer credit providers?
• Want access to thousands of vendors you will extend credit terms to you?
Financing is a critical part of growing a small business and almost always a very large concern
for the owners. Nothing is more important and vital to the health of a small business than
having the right financing in place.
Most small businesses are initially financed by the personal savings or assets of the owners
and can rapidly reach a stage of growth where they are forced to seek credit or investment
solutions to fund that growth. Below I am going to teach you how to build your business credit
profile in order to assist you in obtaining the financing you need to grow and succeed.
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2010 CPN SECRETS 75
Business owners quickly realize that applying for business funding is a much more
complicated process than applying for personal credit. Applying for business funding requires
careful preparation and demands that you understand the process and what it takes to qualify.
WHY DO I NEED A BUSINESS CREDIT PROFILE? When you apply for business funding,
funding sources will look at your personal credit and the business credit profile to determine: If
they will approve your request; the amount; what the terms will be; and if you will have to give
a personal guarantee.
EXAMPLE: Let¶s say you have an "average" personal credit history (FICO score of 650) but no
business credit profile. Based on your personal credit, you are approved for a business loan of
$100,000 on terms of 13% interest over 10 years. If there had been a favorable business credit
profile the terms on the same loan might have been 7% interest over 10 years resulting in the
savings of tens of thousands of dollars.
HERE IS WHAT YOU COULD SAVE BY HAVING A FAVORABLE BUSINESS CREDIT

PROFILE:
Loan Amount $100,000 $100,000

Interest Rate 13% 7%
Term of Loan 10 years 10 years
Monthly Payment $1,493.11 $1,161.08
Total Payments $179,173.20 $139,329.60
TOTAL SAVINGS: $39,843.60
Whatever your financing needs are, it is possible to obtain funding for your business. Poor
credit, ok credit or good credit, getting the financing you¶re looking for is a matter of knowing
how to go about it and where to go. Building your business credit profile will improve your
chances of success if you go about it in the right way.
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2010 CPN SECRETS 76
KNOWING WHERE YOU ARE NOW AND WHERE TO START
In order to obtain business financing you must know where you are right now! Do you? You
must know what any funding source is going to look at before you apply. If you don¶t;
you are completely wasting your time and will most likely be declined.
There are over 4,000 institutional sources of business capital in the United States and each
one has different criteria for funding a deal. Each one of these sources will tell you NO for just
"1" thing. On your own, how can you possibly know what every funding source¶s "1" thing might
be? No on place will coach you on exactly what it takes to pre-qualify before you apply and
exactly where you need to improve to pre-qualify for more funding programs in the future. You
can find out what a lender needs to see for an approval simply by contact the lender and
request a prequalification summary for the loan you are seeking.
About than 3% of businesses that attempt to receive funding on their own without knowing the
prequalification of the loan program ever do! The bottom line is that you are foolish for going it
on your own without first contacting the lender and performing what I call ³LOAN
HOMEWORK.´ If you apply at multiple places without pre-qualifying, you may damage your
credit and will destroy your chances of receiving funding from the sources that would have
done your deal.
Begin by going to http://www.myfico.com or simply pulling a tri merged credit report (WHICH IS
WHAT I WOULD REFER) and finding out what your personal FICO score is and the FICO of
all the principals of the business (anyone who owns more than 10% of the business). This will
cost you less than $40, EACH, to find out the exact FICO score for each person for all three (3)
credit agencies and will not cause an inquiry to appear on your credit history.
As previously covered in this E-Book, Your FICO score is a numbering system created as a
result of your personal credit worthiness based on your past and present usage of credit. Any
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2010 CPN SECRETS 77
score above a 680 will easily qualify you for business financing. With a score above 640 there
will be some creative funding programs available to you; and with a score below 620 you will
most likely need to find someone other than yourself, set up a CPN, or get a boost from trade
lines, to act as a guarantor for business funding, unless your business has assets or
receivables to secure the financing.
For example, your guarantor could have a FICO score of 720 when it is calculated from the
Equifax report and a 690 when it is calculated from Trans Union. Most business funding
sources use the FICO score(s) as a "Go", "No Go" switch. It is important to know your
Guarantor's FICO scores from all three (3) credit agencies before you apply for a business
loan.
Next you need to know if your business has a "Business Credit Profile" and a Pay-Dex score.
A Pay-Dex score is similar to a FICO score only it is the measure of your business credit
worthiness.
Having a Pay-Dex score of 75 is like having a FICO score of 750. Go to http://www.dnb.com

To find out if your business is already listed and has a Pay-Dex score. When you get to Dun
and Bradstreet¶s site, you will see that they have tools to check if your business is currently
listed and what is being said about it. D&B also has a tool that, for APPROXIMATELY $499,
allows you to establish the framework for your business credit profile. If you are in a great
rush you can use this service; however, you can do it for FREE. D&B has a free form to
apply for a new D&B number only. This option does not establish a business credit profile. It
takes about three weeks to receive your business D&B number and on the pages that follow I
will be showing you the steps to build your own profile, absolutely free, further down into this
chapter.
HOW TO BUILD AN EXCELLENT BUSINESS CREDIT SCORE
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2010 CPN SECRETS 78
Once your Business Credit Assessment is complete, you can begin to build your Business
Credit Profile. In order to successfully fund your future capital needs, it is important that you
build a favorable credit profile for your business.
THE ACTION ITEMS THAT YOU MUST DO TO BUILD AN EXCELLENT BUSINESS

CREDIT SCORE:
HAVE A LEGAL BUSINESS "ENTITY" In order to create and build a "business credit file" that
is separate from your personal credit file; you must have a business entity. There is no such
thing as a "business loan" to a sole proprietor. That is a personal loan. Without a business
entity there is nothing for an investor to invest in or for a lender to lend to. You must separate
the business as an entity apart from the personal owners and the only way to do this is setting
up a legal business entity such as a corporation, LLC, Partnership, etc.
IF YOU DO NOT HAVE A BUSINESS ENTITY, SET ONE UP NOW! www.legalcpn.com

Establishing your business as a separate legal entity is where you begin to build a business
credit profile that is separate from your own personal credit profile.
BUSINESS LISTING CONFIRMATION Your next step is to confirm that every agency and
trade credit vendor has your business listed the exact same way, with the same address and
phone number. For example, one might have you listed as "ABC, Inc.", while another has you
as "AB Consultants", and yet another as "AB Consultants, Inc.". Take the time to verify that all
your accounts (State, IRS, Bank, 411 Directory, power bill, phone bill, landlord, etc.) have your
business listed the same way and with your "exact legal name". Also take the time to verify
that all agencies, banks, and trade credit vendors have your business listed with the SAME
Tax ID number.
PHYSICAL LOCATION Your business must be real and not just and an attempt to build
personal credit by using a business entity. If that is what you are doing STOP HERE! This
process will not work for you and you will be limited to establishing personal business credit
solely on the user.
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accounts, loans, charge cards, autos and homes but ONLY as a personal business or a
personal guarantor. Your business must have a physical office space, even if it is at your
home. It is at this physical location that your business should receive regular mail, not at a
mailbox store or post office box. Currently the credit bureaus have developed a data base
identifying all PO BOX and Mail Box locations and are listing such address on credit reports
which can create a potential fraud alert. For Corporate Credit and CPN Set-Ups; Please
Avoid Using ANY PO BOX or Mail Box Locations; PERIOD! Due to New Bureau
Software Upgrades DO NOT use a PO BOX or ANY Type of Mailing Box Location for
Your Corporate or CPN Location. Mail Box Locations are creating red flags on credit
reports. So Beware!
4. PHONE SERVICE AND DIRECTORY ASSISTANCE Your business needs a separate

phone line and fax line. The business phone number must be listed with directory assistance.
Call 411 and make sure anyone can find your business under the exact business name. If your
business is not listed in 411 directory assistance, than dial 0 for your service operator and
make sure that they get your business listed correctly with 411.
EMAIL AND WEB ADDRESS Your business should have its own email address and business
web site with your business domain name. For example, if your business is "Donut Masters,
Inc." you would try to register www.donutmasters.com or www.donut-masters.com. You can
also use domains that end in .net, .biz, .us, etc. The domain can be as low as $6.95 a year and
hosting of your web site can cost as little as $100 a year.
LICENSES You must obtain a business license and, if applicable, a tax resale license in the
State and possibly County or City where you are conducting business. Following the proper
regulator guidelines for operating your business is critical to building a favorable business
credit profile.
FINANCIALS The business should have two years of financial statements. Don¶t panic or
stop here if you haven¶t been in business for two years. Begin building your financial
statements from the day you started the business and keep going with this process. How
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do you have two years of financials with a business entity that was just set up? If you have
been in business as a sole proprietor or partnership prior to forming your business entity,
you can use those financials. Ideally, the financials include a balance sheet and income
statement for each of the last two years. For credibility, I highly recommend that you use an
accountant or CPA to prepare your financial statements.
TAX RETURNS Your business entity must have a Tax ID number (EIN), just like you have
a Social Security Number. Your Tax ID number is used to open your bank account and to
build your business credit profile. Every corporate entity must file a SS-4 form with the IRS
to obtain a tax identification number. This number is vital to successfully building your
business credit profile. Make sure you have properly established both your Federal and
State business tax ID numbers under the exact business entity name.
BANK REFERENCES Your business entity must have a minimum of one bank reference. It
would be great if your business bank account was at least two years old, but more
importantly to place your business in a good lending position it should have an average
daily balance of at least $7,000 for the last three months. Your business banking reflects
how you manage your cash flow. Funding sources want to know that your cash flow is
capable of handling the business debt and expenses on a consistent basis. Accounts that
show NSF returned checks can be deal breakers! If a funding request amount requires a
$2,000 a month payment, funding sources will want to see at least a "Low 5" bank rating.
Your "Bank Rating" is based on your average daily minimum balance over the last 3
months. Here is how "Bank Rating" works. It is based on your average daily balance over
the past three (3) months, so your rating would be:
1. Low 4 for $1,000 - $3,999

2. Mid 4 for $4,000 - $6,999
3. High 4 for $7,000 - $9,999
4. Low 5 for $10,000 - $39,999
5. Mid 5 for $40,000 - $69,999
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6. High 5 for $70,000 - $99,999

7. Low 6 for $100,000 - $399,999«
8. etc., I hope you see the pattern here.
Having the $7,000 balance gets you rated at a "High 4". Not having it will not stop the
process of building a favorable business credit profile, but it will slow it down. If you don¶t
have the $7,000, borrow it from family or friends and don¶t use it, just let it act as your base
line in the business account so that your balance never drops below that amount. Even
better if it is $10,000, because you¶re rating would be a "Low 5" and that really changes
things. Make sure that your business bank account is reported exactly as your legal
business entity name and at the same physical address as your business, not a Mail or
P.O. Box.
CREDIT REPORTING AGENCIES Dun & Bradstreet (D&B) is the leading "business credit"
reporting agency in the United States, Experian is the other. D&B provides businesses with a
separate credit file number that is used to track and rate your business credit profile. This is
called a "D&B number" or "DUNS number". Obtaining a Dun and Bradstreet number (D-U-N-S
#) begins the process of building your business credit history (profile). Getting your "number" is
FREE. All we are doing here is getting your D-U-N-S "number". This number is how lenders
access your business credit profile and it is used to determine the creditworthiness of your
business as a stand alone entity. Your D&B number is asked for when applying with some
credit card and leasing companies. Most banks and lending companies will ask for your D&B
number. Once your corporation is setup and has been issued a Federal ID tax number, you
can apply for your D&B number online at http://www.dnb.com. The process of obtaining a
D&B number is free and takes about two weeks to receive your number. D&B also has the
Express Service for $499, where they will post your most recent financials and will call your
trade references for an initial report. There is no need to pay the $499 that D&B wants to set
up your "business credit file". The first time a vendor or lender asks for the file, D&B will set up
your business credit file for FREE. Potential creditors that ask for your D&B number will send a
request to D&B asking for a credit profile on the corporation. If a profile is not already available,
D&B will compile one from information D&B will request from your corporation. Then D&B will
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ask you for financial statements, tax returns, and the trade and bank references listed above.
Finally, D&B will check the status of the corporation and business licenses along with any
existing credit amounts and payment histories from your trade references. All of these items
will be reflected in the profile. Experian reports are developed only from information that is
provided by your trade references and retail accounts. Equifax reports are developed
only from information that is provided by you business credit card and retail accounts.
TRADE REFERENCES MAKE SURE YOU HAVE COMPLETED ALL TEN (10) STEPS
ABOVE BEFORE THIS STEP. You know have all the steps to build an excellent business
credit profile, FREE of charge. But you must do the steps! Our goal is to relieve you of having
to personally guarantee every level of your business funding. To do that you must reach a
PayDex Score of at least 75.
Pay-Dex is a "1 to 100" score calculated by using up to 875 payment "experiences" from your
trade references reporting how your company pays its bills. Below is the PayDex Score Key,
with a score of 75 or above being your goal.
100 Early to 30 days

90 Early to 10 days
80 Paid as agreed
75 Slow to 8 days
70 Slow to 15 days
60 Slow to 22 days
50 Slow to 30 days
40 Slow to 60 days
30 Slow to 90 days
20 Slow to 120 days
In order to reach your goal you will need to have at least five (5) trade references "reporting" to
D&B that you pay no more than one week slow or better. Trade references are vendors who
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extend credit to your business. An example is the print shop that gives you "Net 30" day
payment terms. Net 30 means you have been allowed 30 days from the date of delivery to
make your payment.
Your business entity is going to need five (5) trade references that have given you a credit
account and report a favorable credit history to the credit reporting agencies. This can be one
of the most difficult steps in the credit building process. Don¶t worry and don¶t stop here!
Trade references are just vendors. Check with all of your suppliers and ask them to give you
Net 15/30 day payment terms and report your payment history to Dun and Bradstreet.
Establishing at least five (5) favorable trade references is a major part of building your
Business Credit Profile and creating a favorable PayDex score. This is not an overnight
process and should be given a large amount of attention in order to succeed. Getting your
existing vendors enrolled and to actually report your business payment history the credit
agencies can be a very time consuming and sometimes a fruitless process. You must have at
least five (5) reporting trade credit references or you will not be building your business
credit score. If your current vendors will not report, start looking for companies that will.
Always find out their requirement and prices for reporting your credit history. Once you have
filed out their credit applications, you should pay your bills on time or you will not build an
excellent business credit score. Don¶t waste your time and money if this isn¶t your goal.
• RETAIL CREDIT ACCOUNTS Many retailers such as Lowes, Home Depot, Staples,
Dillard¶s, OfficeMax, ARCO, Exxon, etc. will issue you a business credit card. However,
without knowing their credit issuing criteria ³prequalification´ you will be
fumbling around in the dark.
BUILDING BUSINESS CREDIT AND FINDING FINANCING SOURCES
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DOES THIS ALL SOUND LIKE A HUGE AMOUNT OF WORK? Having an excellent Business
Credit Score will open up a world of new financing opportunities for your business. It will open
up more funding programs to you in the future and you may not have to personally guarantee
every deal.
BUILDING GOOD BUSINESS CREDIT IS JUST LIKE BUILDING GOOD PERSONAL

CREDIT, IT TAKES WORK AND YOU NEED TO PAY YOUR BILLS ON TIME. In the twelve
(12) steps, above you were given all you need to know about building a great and separate
business credit score. If you follow the steps by yourself, it will most likely take you about 4 to 9
months to have a fairly good score and about one (1) year to have an excellent one where
your business can stand alone for all it¶s credit needs. There are ways to decrease the time
frame of being able to secure corporate funding which I will cover in chapters ahead.
THE REASONS BUSINESSES DON'T SECURE FUNDING FOR THEIR BUSINESS.
1. They don't know what the lender needs to grant an approval!

2. They don't pre-qualify themselves before they apply!
WHAT IS THE MOST IMPORTANT TIP NEEDED TO SECURE FUNDING FOR YOUR
BUSINESS?
1. Know the funding source's exact criteria for approval before you apply!
REMEMBER TO SAY THANK YOU TO THOSE WHO HELPED YOU.
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Along your entrepreneurial journey, take the time to thank those who help you. If you will treat
others the way you would like to be treated, you will find that people will go out of their way to
help you. While serving my clients at Legal CPN, I have tried my best to them the benefit of my
knowledge and experience. Remember to keep your priorities straight, honor your promises
and most importantly that money does not buy happiness. No tombstone ever says "I wish I
had worked more". I wish you all the success in your search to find funding.
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CHAPTER 8 SHELF CORPORATION BASICS
Shelf Corporation: A shelf corporations or an off-the-shelf company is a company that has

been formed on a prior date. Such a corporation also is called an aged shelf corporation. More
helpful information and research support about this topic follows.
Aged Corporation: The aged corporation or aged shelf corporation has no shareholders and
usually, unless required to be filed to keep the company in good standing, may not have
officers or directors. This benefit can maintain anonymity when you add nominee officers and
directors to your company, which is available through Companies Incorporated, after you
acquire it.
SHELF CORPORATION OTHERWISE KNOWN AS AGED CORPORATION
A ³Shelf Corporation," also known as an ³Aged Corporation´ (or ³Aged Company´ when
referring to an LLC, for example) is a corporation that is already formed, but not in use, and
ready for ³purchase´ by a new owner. There are many reasons that people purchase shelf
corporations, and there are certain things to look out for when considering one of these ³ready
made´ corporations.
• WHY SHOULD I USE OR ACQUIRE A SHELF CORPORATION? Shelf corporations

enable new owners to engage into business, credit, or real estate agreements as an
established company without having to go through the entire process and waiting time
frames of establishing a brand new corporation.
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• Most potential creditors or business resources are hesitant to engage brand new or up-
start corporations. By approaching them as an established corporation or company
(obviously, the more years the corporation has been in existence, the better), the more
likely your company will be taken seriously and this may grant your business more
access to credit lines, banking relationships, leases, etc.
• These banking relationships, agreements, Dun & Bradstreet-type rating systems, etc.,
should all be considered when looking at potential aged corporations. Additionally, it is
of paramount importance that these shelf corporations are acquired from trusted
sources that know the intricacies of weeding out those with potential built-in or existing
liability. www.oxfunding.com
Once you have properly selected your shelf corporation, it will in turn enable you to establish
an immediate history and instant credibility for your company and corporate image. In most
instances, you will instantly be able to bid on state contracts (states generally have minimum
longevity rules for companies that are allowed to bid on their contracts), obtain lines of credit
easier and obtain loans from the Small Business Administration in your state, and attract
potential investors more readily with an ³established´ corporation.
As is mentioned above, it is critically important that the shelf corporation you are considering
not have any inherent or lingering liabilities. For the most part, this can be assured by looking
into the history of the corporation and ensuring that the business activities were limited to the
application of an Employer Identification Number and maybe the formation of a bank account.
There are some quantifiable exceptions to this rule. There are times when very well
established corporations get shelved, for a variety of reasons, and these can be inherently
quite valuable due to their tenure or amount of time in existence. These can be carefully
scrubbed for liabilities and exposure by qualified entities, and are in high demand, with the
demand and their price increasing depending on how long they have been established.
Simply put, if you are buying an aged corporation directly from its owners, there is a fair
amount of due diligence involved: you should be concerned if the person or group selling the
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2010 CPN SECRETS 88
aged corporation has engaged in any transactions that may produce some type of future
liability for the corporation or its stockholders. This may not always be easy to examine, and
certainly requires a little investigation.
SHELF AN AGED CORPORATION ADVANTAGES
• Saving time by foregoing the time and expense of forming a brand new corporation
• Instant access to contract and government contract bidding. Most state requires your
company be in business for a specified minimum length of time.
• Instance credibility and an appearance of corporate longevity.
• More attractive to potential investors and investment capital
• Faster and easier access to banking relationships and lines of credit
SHELF AND AGED CORPORATION DISADVANTAGES AND CAVEATS
• Pre-existing liability potential

• Pre-existing debt issues
• Pre-existing business transactions that may lead to future liability
• Small to moderate upfront cost and fees to transfer the corporation to the new owner.
FREQUENTLY ASKED QUESTIONS AND DEFINITIONS
What are Off-the-Shelf Corporation Details? You can accept an off-the-shelf

corporation with the current name or you can change the name of the company to another
name if you wish. You can become the new officer and directors or you can choose to remain
anonymous and have officers and directors. The name of the corporation can be changed.
Why Should You Acquire Your Own Shelf Corporation? When a business has some years
behind it, customer trust tends to be enhanced. Lenders are more willing to lend to your
company and manufacturers and wholesalers are more willing to offer financing terms. On big
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reason for obtaining an aged shelf corporation is that it is much easier for you to obtain
corporate credit.
What is a Companies Incorporated shelf corporation? A shelf corporation is a corporation

that has been formed on a prior date. Typically, it will not have conducted business. It does not
hold assets, has not incurred liability, and has yet to issue stock. These corporations also are
referred to as seasoned shelf corporations. When you purchase a Companies Incorporated
aged shelf corporation, it will arrive in your possession with articles of incorporation file-
stamped by the government with its incorporation date as well as:
• Articles of Incorporation
• ³Action of Sole Incorporator´ document which transfers the company to you
• Minutes of meetings
• A corporate kit (record book)
• Stock certificates
• A corporate seal
• Corporate Bylaws
• A corporation checklist letting you know items to keep your company in good standing
• Registered agent service
• Federal Tax ID Number
• Other important documents
What are the types of aged shelf corporations? Shelf and aged corporations can be any
type of legal entity. This includes U.S. domestic corporations, as well as offshore and
international entities. The term "shelf" or "aged" refers only to the fact that the company has
already been filed and is sitting "on a shelf" waiting to be purchased.
What shelf corporation age is right for me? It is important to choose the age appropriate to
your needs. For a building contractor or consulting company, the number of years in business
is important to the clientele. In order to obtain government contracts, the typical age
requirement is two years. Moreover, for a business that wants to build corporate credit, the
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2010 CPN SECRETS 90
older the better. The key issues are the perceptions of the potential customers and potential
lenders. How old does the business need to be to convince the client or the banker that the
business is secure and stable? Is the age of your business important? It usually is to a
customer or lender.
What does a shelf corporation age mean? The age of a shelf corporation is just as real as
the age of a human being. The law calls a corporation a person. It is an artificial person. It is
separate from the people who own it. The owners of a shelf corporation, as with any other
legal entity, are just as separate from each other as two people are separate. The H.J. Heinz
Company started in 1869. The original owners, officers, and directors have long since passed.
However, the age of the company truly remains intact.
WHAT ARE SOME ADDITIONAL SHELF CORPORATION BENEFITS
• Immediate availability is established when the company is formed and ready to be

shipped for immediate delivery rather than needing to wait for government filing.
• Credibility to customers.
• Increased ability to bid on government contracts. Many state and federal contracts
require that the business be between two and five years.
• Easier access to credit.
• Easier to obtain venture capital.
• Easier to take a company ³public´ and sell shares on a stock exchange if certain criteria
are met.
• Less lead time to incorporate your company.
• Ability to bid or present your business in an arena in which candidate companies have
to breech an existence duration threshold for contractual adherence.
• Immediately creating a company existence longevity appearance.
• Access to investment opportunities.
• There are fewer limitations when applying for corporate credit.
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• Buyers of shelf corporations have some big advantages over newly filed businesses.
First, the benefits mentioned above. Also, the advantage of being able to purchase an
established corporation and put themselves in as officers, directors, and shareholders,
giving them immediate control of the business.
What is a shell corporation or corporate shell? Corporate shells are ³shelf corporations,´ as
they are known, that also are companies that already have been formed. These types of
companies usually do not have shareholders, officers, or directors (unless required to be filed
to maintain good standing). They generally have no assets or liabilities. Such an entity is
analogous to a new home that has been built and is ready for occupancy.
Why should I use or acquire a shelf corporation? Shelf corporations enable new owners to
enter into business, credit, or real estate agreements as an established company without
having to go through the entire process and waiting time frames of establishing a brand new
corporation. Most potential creditors or business resources are hesitant to engage brand new
or upstart corporations. By approaching them as an established corporation or company
(obviously, the more years the corporation has been in existence, the better), the more likely
your company will be taken seriously, which may grant your business more access to credit
lines, banking relationships, leases, etc. These banking relationships, agreements, Dun &
Bradstreet-type rating systems, etc., all should be considered when looking at potential aged
corporations. Additionally, it is of paramount importance that these shelf corporations are
acquired from trusted sources that know the intricacies of weeding out those with potential
built-in or existing liability.
SHELF AND AGED CORPORATION ADVANTAGES
• Saving time by foregoing the time and expense of forming a brand new corporation.
• Instant access to contract and government contract bidding. Most state requires that
your company be in business for a specified minimum length of time.
• Instance credibility and an appearance of corporate longevity.
• More attractive to potential investors and investment capital.
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• Faster and easier access to banking relationships and lines of credit.
WHAT ARE THE FIVE C'S OF BUSINESS CREDIT?
Lending institutions want to lend money because it's the way they make money. However, they
only want to lend money to a borrower who is able to repay the loan on time and in full. When
lending over a certain limit to small businesses, lenders customarily analyze the worthiness of
the borrower by using the Five C's:
• Capacity
• Capital
• Collateral
• Conditions
• Character
Each of these criteria helps the lender determine the overall risk of the loan. While each of the
C's is evaluated, none of them on their own will prevent or ensure access to financing. There is
no automatic formula or guaranteed percentages that are used with the Five C's. They are only
a variety of factors that lenders evaluate to determine how much of a risk the potential
borrower is for the financial institution.
Note: When lending small amounts of money under $50,000 (small is a relative term to each
lender), eligibility typically depends solely on personal and business credit scores. A credit
analysis usually is not performed. Depending on the personal and business credit scores, the
lender either will or will not approve the loan.
Federal Employer Identification Number: For a variety of tax reasons, a business is required
to have a separate tax ID number. Like a Social Security number for an individual, it is highly
advisable for a business to have an Employer Identification Number (EIN), CPN Numbers work
best as long as the credit number is issued in the corporation¶s name. If you purchase a new
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2010 CPN SECRETS 93
aged corporation and you need a new (EIN) for your new corporation, obtaining a good credit
quality (CPN) is advisable as long as the CPN is issued in the corporation¶s name.
UNDERSTANDING THE BASICS OF BUSINESS CREDIT
Why Should I Borrow Money for My Business? Unless you are lucky enough to have just
won the lottery or have an enormous private trust fund, it is likely that you will need to look
beyond your own private funds to finance the establishment and expansion of a business. You
could wait patiently to save enough funds to support the growth of your business, but this will
stall your business plans considerably. For instance, if you saved $1,000 a month in an
account that paid you 5 percent interest, it would take you nearly seven years to save
$100,000.
Or you could try to find investors to finance your business by becoming your partners. In
situations in which an individual will bring more than just money to the partnership, such as
knowledge of the industry, contacts, or other characteristics, it may be helpful to the
development of the business. However, when securing needed funding is the only benefit to
the deal, bringing in additional partners may not be desirable. When making a decision like
this, it is important to weigh the impact of diminished ownership and decision-making during
the time that the investor has a vested interest in your business. On the other hand, you can
maintain autonomy and expedite the growth of your company if you don't wait to save money
or add partners. When it comes to financing your business, there are many good reasons why
borrowing money makes sense.
Importance of Borrowing: Benjamin Franklin once said, "To understand the value of money,
go and try to borrow some." For some small businesses and corporations, this is a difficult
lesson to learn. Nevertheless, business borrowing is a vital part of running a company
successfully, and all business owners should learn this lesson in order to understand how to
borrow more effectively.
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Even though your word may be your bond, a positive business credit rating is crucial to
borrowing money on good terms. No business can build credit or secure needed funding
simply by promising to repay it. Business lending institutions will evaluate certain standards in
order to determine whether or not they will lend to your business.
This section will explain many of the reasons why you may need to borrow money as your
business evolves. Primarily it will discuss the credit analysis method of the Five C's, which
commercial lenders rely on to assess corporate creditworthiness. This chapter also will
analyze the lending opportunities larger companies often take advantage of and factor in the
obstacles that often face smaller companies.
How Do I Build Business Credit? No single aspect of a company's credit profile can
determine or undermine that company's creditworthiness. Each of the following factors
influences a company's overall credit score:
• Paying all monthly obligations on time

• Maintaining a solid balance sheet
• Avoiding legal troubles
• Establishing business credit and sustaining a strong business identity
More emphasis may be placed on one or another of these factors by potential lenders when
they evaluate your credit history. For instance, whereas a potential vendor will be interested to
see the payment history on your monthly obligations, when applying for a commercial loan, the
lender will be most likely to emphasize the importance of a solid balance sheet. Finally, your
litigation history is more likely to be an issue to any insurance companies that are attempting to
rate your policy.
Working Capital: Many businesses face cash flow challenges, whether from seasonal highs
and lows, unforeseen circumstances such as uninsured losses, or slow revenue from accounts
payable. At times like these, if you establish business credit, then you will have access to
needed funding to take care of necessary financial obligations.
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How Can I Passively Build My Credit? From year to year, as your company continues to
operate, you are positively impacting your business credit score, whether you know it or not.
Because many large companies (including financial institutions, credit card companies, utility
companies, and some government agencies) report your payment history to Dun & Bradstreet
and other credit bureaus, you are building your business credit file just by paying your monthly
obligations. This information cannot be kept hidden, and other companies may access the
information in your file by paying a fee to the credit reporting agencies. In order to ensure that
you are building a positive credit profile, it is important to maintain on-time payments and a
sound balance sheet, and to avoid legal action against you. Each of these components reflects
positively on your overall credit rating.
Does the Size of My Business Matter? The size of a company is an important factor when it
comes to applying for business or corporate credit. Large companies and corporations can
access funding in many ways that are not available to smaller companies, including:
• Public Offerings: Public corporations can raise funds by offering ownership in their
businesses through the sales of stocks and bonds.
• Commercial Funding: Most commercial financial institutions are more likely to lend to
larger companies and corporations than to small companies. Since the process involved
to lend a large amount of money is basically the same as that required lending a small
amount of money, it simply is more profitable for a lender to issue larger loan amounts
than smaller ones. Because they are the most coveted borrowers, large companies also
have more flexibility when borrowing capital when the economy is uncertain and other
lending opportunities become more stringent or disappear. At times like these, small
businesses often have a very difficult time qualifying for loans from these types of
lenders.
• Favorable Lending Terms: Unlike small businesses, large businesses and corporations
traditionally qualify for the most lenient loan programs, including those with the lowest
interest rates. According to the U.S. Small Business Administration (SBA), in November
2003, large corporate borrowers with the lowest risk were charged only 5.5 percent
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interests on fixed-rate loans whereas small businesses (borrowing microloans of less

than $100,000) were charged 6.53 percent. Small and medium-sized businesses and
corporations have a more difficult time qualifying for commercial lending programs.
According to the November 2005 report from the Office of Advocacy of the SBA, in
recent years access to small loans (less than $1,000,000) and microloans (less than
$100,000) has continued to decline while the total dollars borrowed through larger loans
has continued to increase.
Because of the difficulty in qualifying for traditional bank loans, smaller businesses and
corporations often seek out alternative, more costly financing opportunities. Credit card
borrowing, finance company loans, and private lender loans all are alternatives that small
businesses resort to in order to secure needed funding when commercial loan programs are
not available to them.
But this does not mean that small companies and corporations have to rely solely on high-
interest, costly funding opportunities. By increasing creditworthiness, small business owners
can benefit from even greater access to affordable financing options.
NON FINANCIAL FACTORS
There are several other factors that are used to evaluate your company's credit and reassure
potential lenders that you are a solid business, including:
• Understanding Credit Analysis - To determine if you will be able to establish business

credit, consider each of the following C's to see how you would look to a potential
lender:
• Capacity ± This is an evaluation of your ability to repay the loan. The financial institution
wants to know how you will repay the funds before it will approve your loan. Capacity is
evaluated by several components, including the following:
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• Cash Flow ± This refers to the income a business generates versus the expenses it
takes to run the business analyzed over a specific time period. For example, if a
company regularly generates $10,000 of revenue a month, and it has expenses of
$8,000 a month, the lender would determine that there is $2,000 a month in cash flow
that could be used to repay the loan. If a company has the same amount of expenses
as income, that would mean the cash flow would be zero, and the lender would have
reason to be concerned about how the company plans to repay the debt.
No matter what stage of growth your business is in, there are many reasons to consider
borrowing funds that will help you achieve your business objectives. Your ability to qualify for
lending opportunities with reasonable repayment terms depends on a variety of factors that will
be reviewed by the lending institutions and will affect the amount and terms of your loan.
Recognizing the differences between large corporate access to financing and small to mid-
sized business access to financing is very important. Large companies and corporations have
greater access to business credit and funding options with lower interest rates and more
favorable loan terms.
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CHAPTER 9: HOW TO PURCHASE AN AGED CORP FOR LESS THAN $100
The first thing you have to do is calculate the age of the person who is going to be president of
the corporation and then decide what year corporation you should look to purchase (keeping in
mind that lenders will question this if the president of the corporation is 25 years old and the
corporation is 20 years old).
This Shelf Corps we have located targeted for easy purchasing is based in the state of
Arizona. You can use the same formula for the state you reside in. You can also find a shelf
corporation listed in the state of Arizona and move the Corporation to your home when you
apply for your EIN and record this corporation within the state you reside.
1) Browse to your state¶s corporation commission¶s site http://www.cc.state.az.us and

look for active corporations; you will be looking for AD-DISSOLVED corporations. AD-
DISSOLVED means to bring to an end by or as if by breaking up; terminate.
2) Once you have found an AD-DISSOVLED corporation, check the fees that have to be
paid to bring the corporation back into good standing by clicking E-File Annual Report
Online.
3) If the fees are in the ball park that you would like to spend (Usually under $100), you
now can contact the owner or the statutory agent by phone or mail. The corporation
page will give you all the contact information. If you cannot find any phone numbers, I
suggest you Google the company name and you should find some information there.
Then, contact the owner by mail.
4) Once you have the okay from the owner to take over (nine out of ten corporate owners
will allow you to take over; in return, you will pay for the backed up fees), you will need
to obtain a new EIN# or CPN#.
5) With that, you are ready to get your business phone number and business address.
6) Once you have established a business address and phone number, you are ready to
get your business D&B number. For than, please see http://www.dnb.com/us . D&B
Overview: Dun & Bradstreet maintains the world's largest business database, containing
information on more than 100 million businesses worldwide, including 38 million in the
United States. D&B is by far the leading provider of business information for credit,
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2010 CPN SECRETS 99
marketing, and purchasing decisions worldwide. Today, more than 150,000 companies
of all sizes rely on Dun & Bradstreet to provide the insight they need to build profitable
business relationships with their customers, suppliers, and business partners. We invite
you to join. The information you'll find in the D&B database is gathered and compiled
from millions of trade and bank transactions, federal bankruptcy filings, and information
from business owners, public utilities, and the offices of all the U.S. secretaries of state.
It also scours hundreds of newspapers, magazines, trade publications, and electronic
news services for data. Once you have your D&B number, you will need to start building
your D&B profile. Please follow these steps: Shop online with five corporate vendors for
no more than $10 each. Make sure you put the name of your corporation as the
purchaser and, yes, you may use your personal credit card to make these purchases
(Office Max, Home Depot, Staples, and Sears).
THAT¶S HOW YOU CAN PURCHASE AN AGED CORP FOR UNDER $100.00 USING
THE ARIZONA ONLINE DATA BASE!
This method has saved my clients thousands of dollars purchasing an aged shelf corp.
You can find numerous online retailers selling aged shelf corps anywhere from $1,000.00
to well over $100,000.00, per aged shelf corp.! With this information you will be able to
locate and purchase aged shelf corps over and over again for less than100-200 dollars;
saving you thousands.
This was a very short chapter which illustrates how easy it will be for you to locate an
abandoned aged shelf corp and for you to literally purchase the aged shelf corp for as low
as $100.00
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CHAPTER 10: REPAIRING AND REBUILDING BUSINESS CREDIT
Once you resolve the issues that caused the negative impact to your business, you can start
down the path to repairing the damage to your business credit profile. Even if you have a less
than perfect business credit report, you still can obtain business credit while taking steps to
strengthen your business; it just will cost you more to get it. Unfortunately, no matter what
bankruptcy option you file, time is the only way to remove the negative credit history that
caused the bankruptcy. Ten years is a long time to wait for this information to drop off your
credit report, so serious consideration should be given if you are considering declaring
bankruptcy.
It is important to realize that reestablishing a positive business credit profile is not an easy or
quick process. You must be prepared to work diligently to recover from significant financial
troubles, including repairing any damages to your business credit report. Take advantage of
opportunities to repay any existing debt through a business debt consolidation program if
applicable. Analyze and make adjustments to any existing business-related issues that
contributed to the financial troubles in order to implement long-term solutions. Finally, take the
necessary steps to begin to reestablish your positive business credit profile by establishing
secured business credit cards, but be careful when choosing these types of cards. Once
there¶s a negative item on your business credit report, it has an immediate impact on your
company¶s business credit profile. This will become a serious warning for anyone who
requests a copy of your business credit report and may cause some companies to refuse to do
business with you.
A negative business credit report can make it very difficult to qualify for additional credit. If you
do find a lender who is willing to do business with you, the increased interest rates and fees
associated with the loan will make the cost of borrowing money much greater. You may even
have difficulty obtaining insurance if your credit problems are serious enough. The good news
is that if you are committed to staying in business, there are steps you can take to turn your
credit around. However, there is no instant solution. It often takes just as long, if not longer, to
reestablish a positive credit rating than it did to establish one in the first place. Another
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misconception about credit repair is that you can pay someone else to either repair or
reestablish your business credit profile. The reality is that you need to be prepared to spend
quite a bit of time and effort to repair your damaged business credit profile.
• This chapter shows you how to become financed when you need to rebuild your
business credit profile. It covers the types of loan programs as well as the various
potential lenders to consider. Once you determine the optimal loan for your situation,
then you want to try to acquire the best possible financing and repayment terms. This
chapter breaks down the various options available when it comes to loan terms and
provides information that will be helpful in securing these terms.
Beginning to Repair Your Business Credit Profile: By making the payments on time that
you have negotiated with your debt consolidation consultant, you begin to have a positive
impact on your business credit report.
Business Credit Improvements: Once you have taken steps to strengthen your business
practices, you immediately can begin to strengthen your credit profile. Many of the steps that
you took to initially establish business credit will be applicable. There are no short-cuts to this
lengthy procedure. Even though the negative information on your business credit report will not
be removed, by beginning to pay your obligations on time, you will start to tip the scales and
begin to create a positive credit history that will only improve over time. After reestablishing a
positive payment history, you also can request credit from vendors and secured credit cards in
order to begin to establish new credit.
Credit from Vendors: After you have had negative history with your vendors, they may not
be willing to take the risk of extending you additional credit, but it doesn't hurt to ask. Once you
have taken the necessary steps to remedy any big-picture business issues that caused your
negative performance in the past, it is possible to regain a vendor¶s confidence in your
business. Perhaps they might be willing to accept partial payment up front or lower your limit
on advances. Either way, your best practice when negotiating with vendors is to use solid
negotiation skills. Keep in mind that your vendors want your business and may be willing to
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accommodate a reasonable request from you for credit. Start with small steps that
demonstrate your renewed ability to meet the terms of your financial agreements, and then
build from there.
Secured Loans and Credit Cards: Once you are in situation in which you are forced to
reestablish your business credit, secured loans and credit cards are an excellent way to
demonstrate your renewed positive credit performance. Secured credit cards are
indistinguishable from unsecured cards, and when you repay the amount owed on the card,
you begin to establish a positive credit history. After demonstrating this positive pattern of
payment for a reasonable amount of time, the financial institution that issued the card may
even be willing to make the card only partially secured by increasing your credit limit without
requiring an additional deposit.
The primary value of establishing secured loans and credit cards is to enhance your business
credit profile. So, it is important that you make sure the financial institutions backing these
cards report your account information to the business credit reporting bureaus.
When choosing which secured credit opportunity is right for you, be careful to watch out for
scams that involve selling lists of secured credit opportunities. This information is something
you easily can search for by yourself for free. Also be careful of 900 phone numbers, hidden
processing charges and fees (that often are deferred and billed to the credit card itself), and
promises to repair or clean up your credit, which is something that cannot be purchased.
Maintaining Creditworthiness: Every business should have a solid plan that consists of
safeguards that will help you to maintain and ultimately improve your business credit reports
and ratings.
Monitoring Cash Flow: The single most important factor in being able to pay your monthly
obligations on time is your cash flow. Ensuring that you have the money when you need it can
make a huge difference in the success of your company and the strength of your large,
medium, or small business credit profile.
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Here are some helpful tips that will assist you in successfully managing your cash flow and
building business credit:
Communicate with Your Creditors: If your cash flow issues are making it difficult to meet the
agreed upon terms with your creditors, it is imperative that you contact your creditors and
either request an extension or renegotiate the terms of your payment agreement so that they
line up better with the timing of your accounts receivables. For instance, if you agreed to net 30
days with one of your vendors but realize that you will not receive payment from one of your
largest customers for 45 days, try to negotiate net 60 days so that you have sufficient time to
collect the payment from your customer and make the appropriate payment to your vendor.
Safeguard against Business Identity Theft: While individual identity theft is more common,
it also is a growing concern for businesses. In the past few years, there has been an increase
in attacks on businesses. This includes stealing company documents such as stationary in
order to request or divert products and supplies that the genuine company ultimately will be
billed for. Identity thieves also will try to access business bank account information in order to
use company credit.
The impact of business identity theft is wide reaching. Not only can it negatively impact your
business credit report and overall profile, it can have a potentially negative impact on your
company¶s brand and/or reputation. In order to avoid business identity theft, take steps to
protect the information contained in your computer systems and guard the important
documents kept on the premises. It is even important to safeguard your garbage if bank
information and other sensitive documents are being thrown away. A shredder is an excellent
way to ensure that your company¶s sensitive information will not be accessible.
The Better Business Bureau has more tips on avoiding business identity theft. You can find
them on its web site at www.bbbonline.org/idtheft/business.asp.
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Business Location: While it is advantageous for a company to have its own location separate
from the home of the owner, even a home-based business can build credit. Having a separate
phone line and/or fax number will enable a business to have a presence in the Yellow Pages,
which is something that many credit rating companies verify when conducting a credit analysis.
Formal Business Entities: When a company takes steps to establish itself as a corporation or
limited liability company (LLC), potential lenders may consider it a better credit risk than sole
proprietorships and partnerships, which are much less formal business entities. While sole
proprietorships and partnerships are not prevented from applying for business credit, the more
fully established the company is, the more likely it is to receive credit.
Reviewing Your Business Credit Report: Review your business credit report on a regular
basis in order to ensure that the reported information about your business is current and
accurate. Be sure to verify that none of the following problems appear that would negatively
impact your business credit report:
• Previous Information: Make sure that your business credit report does not contain any
old account information that has since changed.
• Missing Information: All of your pertinent information, such as accounts with your key
vendors, should be included on your report.
• Unauthorized Information: Everything on your credit report should be familiar to you. If

anything appears that you have not personally authorized, you should act quickly to
investigate it.
Repairing Your Business Credit Report: If you discover mistakes on your business credit
report, you should contact the credit bureau immediately and have the mistakes corrected.
Send a letter to one of the business reporting bureaus (including your company name, your D-
U-N-S and/or Tax ID number, and your personal contact information) explaining the error and
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how it should be reported correctly. If you have any supporting documentation related to the
correction you are requesting, make sure you include copies of those documents as well.
If the error is the result of a company¶s mistake in reporting your information to one of the
business credit bureaus, it is best to contact that company directly and request that it correct
the information it is reporting. For example, if a company is incorrectly reporting that you were
more than 60 days late on a payment, when in fact you were given 90 days to pay, remind the
company that it was paid within the timeframe established in the terms of your agreement, and
ask that it report your timely payment to one of the business credit reporting bureaus.
Updating Your Business Credit Report: If you discover any incorrect information or
problems in your business credit report, you should take immediate steps to resolve them. If
old information appears, such as closed accounts or paid off loans, get the information
updated. If there is information missing, such as newly opened accounts, get the information
added. Notify the financial institutions or companies you do business with and ask them to
report your current payment performance history to one of the credit reporting bureaus.
Adding to Your Business Credit Report: Often, the information being reported to the
business credit bureaus is correct, but data is missing. You may have additional financial
transactions that will improve your business credit profile and credit rating, so it is beneficial to
notify the business credit bureau. Important information to add to your business credit profile
includes:
Improvements to Financial Statements: The only financial statements that the business
credit reporting bureaus can access directly are those of publicly-traded companies. By
providing copies of your company's financial statements to one of the credit reporting bureaus,
they can gain a more comprehensive understanding of your company's financial picture.
Payment History Practice: The single most important factor that affects your business credit
profile and score is your payment history. If you owe money to one of your vendors and fail to
make good on your promise to pay, the vendor may cease doing business with you. And if they
do continue to do business with you, it is likely that the future terms of your business
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transactions will be less favorable. For example, instead of granting you 30 days to pay your
invoice, the vendor may require payment up front, either in part or in full.
Even more important than the payments you make to your vendors are the payments you
make to large financial institutions, like banks, credit card companies, and utility companies. If
you fail to make a required monthly payment on time, it will be reported to a business credit
bureau such as Dun & Bradstreet, which immediately will have a negative impact on your
credit score. Clearly, this can have much farther reaching negative implications than not paying
a bill to one of your vendors.
In order to be considered on-time, a payment must be made within the terms of the agreement.
No matter if your payment is due within 30±90 days following receipt of the invoice, it is vital
that you make the payment in the agreed upon time. Paying early also can have a very
positive effect on your credit score, for example, paying a bill in 60 days that isn't due for 90
days.
Making a payment a few days late is not going to undermine an otherwise strong credit history.
Unless the payment is more than 30 days late, most companies will not report the late
payment to the credit bureaus. However, a pattern of 30-day late payments or worse can
severely weaken a company's business credit history and score.
Strategies for Paying on Time: Most businesses experience a cash flow problem at one
time or another. For example, the customers of that business may be late making their
payments, thus threatening that business¶s ability to pay its obligations on time. In order to
avoid these kinds of situations, it is important to develop strategies to ensure that you make
your payments on time, regardless of any cash flow problems you may encounter. The
following are some suggestions for how to do this:
Overdraft Checking: This is a feature that most financial institutions offer with business
checking accounts to cover any negative balance created by writing checks for more than the
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funds in the account. Even though there is interest fees associated with this protection, it is
worthwhile if it protects your credit score by keeping a late payment off your credit history.
Automated Payments: Many times, payments are made late simply through oversight.
Establishing automated payments for regular obligations (like rent, tax payments, and
insurance premiums) can ensure that these payments are made on time. Owners of small
businesses even can set up payments on their estimated federal taxes up to 12 months in
advance by using the Electronic Federal Tax Payment System (EFTPS) (www.eftps.gov).
Negotiating New Terms: One of the most effective ways to avoid being late is to
communicate with your lender as soon as you realize that your payment is going to be late. In
many cases, lenders will be willing to give you an extension on your payment of up to 30 days.
By renegotiating the terms of your payments, you can avoid having a late payment reported to
D&B or other credit reporting bureaus. By simply renegotiating your due date to a timeframe
that is more compatible with your receivables, you will protect your credit history and score.
For example, if you typically receive payments on your receivables on or around the 10th of
the month, you should try to arrange a due date for your payments on or around the 25th. This
way, you will have two weeks to deposit the payments you received from your customers and
send your payment to your creditor with plenty of time before the due date. Another option to
avoid making a payment late is to negotiate a new agreement with your lender to make a
partial payment by the existing due date and get an extension to pay the remaining amount
owed.
Prioritize Payments: When you run into trouble making your required payments, if you are
unable to renegotiate the terms of payment with all your creditors, make sure you at least pay
the accounts that will be reported to D&B or the other credit bureaus in order to protect your
credit rating. Clearly, this is not a strategy that you want to employ on a regular basis if you
want to keep up the good business relationships you have with your creditors. In addition, you
always want to be sure to protect your relationship with your vendors that are critical to your
business, even if they will not report your payments late to D&B.
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Creating a Balance Sheet: When you apply for any kind of business loan, one of the first
things a potential lender will ask for is a balance sheet. This is a summary of your company's
current assets and liabilities, including equipment and property owned by the company,
accounts receivables, other funds owed to you, as well as any mortgages, outstanding loans,
or accounts payables owed by you. By analyzing a company's balance sheet, a lender can get
a feeling for the financial strength of a company.
Building a More Impressive Balance Sheet: Since your balance sheet is going to be a key
component of every future loan you apply for, it is important to make smart decisions
throughout the year in regard to your assets and liabilities. Here are some critical strategies to
enhance your balance sheet:
Keep Your Cash: When you anticipate that your balance sheet is going to be evaluated by a
potential lender, try to keep your cash in your accounts rather than spending it on anything but
assets that will be credited to the overall value of your company.
Delay Writing Off Bad Debts: Since one of your business assets is your accounts receivable,
you should keep all accounts on your balance sheet, even the ones that have not had any
payment activity. This way, all of your potential incoming funds strengthen your balance sheet
by increasing your assets.
Restoring Business Credit: No matter how you try to avoid it, unforeseen circumstances
sometimes can affect your business and lead to financial decisions that result in late payments
that have a negative impact on your credit profile. Some companies experience such severe
financial distress that they are forced to file bankruptcy.
Resolving Financial Problems: As soon as you have reestablished your company's

finances, you can begin to reestablish your business credit rating. You efforts to repair your
business credit should be divided in two ways: taking care of the debt that you already have
accumulated and implementing smart business practices so that you can avoid similar financial
difficulties in the future.
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Negotiating Through a Business Debt Consultant: If you are trying to avoid declaring
bankruptcy but have significantly delinquent outstanding debt, you should consider enrolling in
a business debt consolidation program. Similar to consumer credit consolidation programs, the
focus of these types of business credit consolidation programs is to negotiate with your
creditors in order to get reduced interest rates and payments over extended periods of time.
However, while these types of programs enable a company to reestablish a positive payment
history with its creditors once the terms have been renegotiated and an agreement has been
reached, they do not provide a quick fix, pay off your debt, or remove any previously reported
negative information from your credit report. But if the alternatives are going out of business or
declaring bankruptcy, a business credit consolidation program may be a far better option for
your company.
When dealing with a business credit Consolidation Company (also known as debt-restructuring
company) the first step is to provide all the information about your current outstanding debt.
Once your creditors have verified this information, your debt consultant will create a budget
that takes into consideration what you can pay comfortably ach month. Then, you begin to
make monthly payments to the debt consolidation company and it, in turn, makes payments to
your creditors.
You also can decide which of your creditors you want to include in your debt-restructuring. For
example, if you have a critical supplier that you can afford to pay in full when that amount is
due, you should keep it out of your debt consolidation plan.
Even though many consumer credit consolidation companies have popped up over the past
few years, there remain only a few business consolidation firms nationwide. The largest is
Corporate Turnaround (www.corporateturnaround.com). The cost of the service is included in
the payments you make as part of the plan, so you ultimately pay back less than you would
have if you had continued making payments on your own and eventually paid your account in
full.
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The U.S. Department of Agriculture provides advice and credit counseling for ranchers and
farmers at www.fsa.usda.gov/pas. If you search for "credit counseling" on the web site, you will
be directed to local agency offices.
THE BENEFITS TO WORKING WITH A BUSINESS CREDIT CONSOLIDATION

CONSULTANT INCLUDES:
Communicating with Your Creditors on Your Behalf: Once you sign a contract with your
credit consolidation company, you authorize the firm to deal with your creditors on your behalf.
As a result, the firm can communicate directly with your lenders, collection agencies, or any
attorneys who may have interest in your accounts. This can reduce your stress significantly,
leaving you more time and energy to focus on running your business.
Avoiding Excessive Legal Fees and Bankruptcy: By working with a debt consolidation
company, costly legal fees can be avoided. And as long as sincere efforts are being made to
make payments to your creditors, they will be willing to work with you in order to help you avoid
bankruptcy.
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CHAPTER 11: APPLYING FOR BUSINESS CREDIT
For a variety of reasons, many businesses find it necessary to borrow money at one time or
another. At such times, it is very helpful to be in a situation to strengthen your company by
borrowing money and raising funds. However, because financial institutions are more likely to
lend funds when times are good, it is important to take advantage of borrowing opportunities
even if you don't have a dire need for the money. If you are wondering how to develop large,
medium, and small business credit, borrowing and repaying business loans is an important
step. Building business credit in this way will increase your access to funds at times when you
really do need them.
Even though you need good credit to qualify for most business loans, you can qualify for
certain types of financing with very little or even poor credit. Taking advantage of opportunities
like these to borrow and pay back a loan will help you establish business credit and raise your
credit rating, making it easier for you to borrow in the future with even better terms.
In order to acquire the appropriate business loan for your situation, it is important to know
about all of your financing options. Not every financing option will be appropriate for your
situation or business type. For example, only a large business that is listed on the public
exchanges can sell its bonds and effectively borrow from the public.
This chapter shows you how to find financing when you need to build business credit. It covers
the types of loan programs as well as the various potential lenders to consider. Once you
determine the optimal loan for your situation, then you want to try to acquire the best possible
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financing and repayment terms. This chapter breaks down the various options available when
it comes to loan terms and provides information that will be helpful in securing these terms.
Business owners have many options, ranging from personal resources to large financial
institutions, when it comes to borrowing money for their company. When choosing a loan, it is
important to understand the interest rate included in the terms of the loan and how your credit
history can help determine the quality of these terms. The best way to work toward qualifying
for the best business loans possible in the future is to be a good lender by keeping your
agreements, making payments on time, and repaying all loans when they are due.
Applying for Credit Cards: Established business owners typically receive credit card offers
in the mail on a regular basis. Some offers are even "pre-approved." Receiving these offers in
the mail usually is an indication that your company should apply for a business credit card.
However, with most of these offers, your credit limit and interest rate are not determined until
after you apply for the account. In order to determine the limit on a business credit card and
the applicable interest rate, the credit card company will evaluate several characteristics of the
business history as provided on the credit card application. Business credit card applications
usually can be completed through a credit card company's secure online web site. It is a good
idea to consider applying for a business credit card at the bank that issued and maintains your
business checking account. Since the bank already knows you as a customer, the business
credit card application process often is simplified, and the credit cards can be issued more
quickly, sometimes even automatically. Establishing a business credit card with your bank also
enhances your business relationship with that bank, which may be useful in the future if you
need to apply for a commercial loan or line of credit.
When authorizing business credit cards, establishing interest rates, and setting cash advance
and spending limits, the financial institution that issues the card will consider many factors,
including:
Business Credit History: The single most important factor when applying for a business
credit card is the company¶s credit history, as reported by D&B or one of the other business
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credit reporting bureaus. If your business does not have any business credit, or has a history
of slow payments, etc., you may be denied. However, some business credit card companies
will offer to approve the card if the owner is willing to give his or her personal guarantee.
Annual Business: Some business credit card companies only will approve a business credit
card for a company that demonstrates a certain predetermined minimum annual business. In
some cases, this minimum could be $50,000; in other cases, it could be $1,000,000. Before
applying for a business credit card, it is a good idea to find out what the finance company¶s
minimum expectations are so that you don¶t waste your time applying for an account that you
will not qualify for.
Just as many people have more than one personal credit card, many companies have more
than one business credit card for certain purposes. Some companies use one credit card for
employee expense account charges, another for business necessities. Either way, it is helpful
to have two or three business credit cards. What you don¶t want to do is negatively impact your
business credit rating by applying for too many business credit cards or charging up high
balances.
Credit Limits on Business Credit Cards: Every business credit card has a different credit
limit associated with it. While the financial institution may advertise a certain high-level limit,
you may not qualify for the highest possible limit when you are issued your first credit card.
Lending Criteria: Lenders base your credit limit on a variety of factors. The line of credit you
are offered will depend on your business credit rating and overall profile.
When a lender establishes a credit limit on a business credit card, it goes through almost the
same process that is used for any commercial lending. The financial institution reviews the
company¶s business credit rating (if there is one), and often will require that smaller business
owners provide personal information as well as a personal guarantee on the credit extended.
The biggest difference between applying for a business credit card and a formal line of credit
from a bank is that no business plan or financial statements are required.
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Often, the financial institution issuing the business credit card will establish an initial line of
credit, such as $20,000, based on a review of a businesses credit history. However, if a higher
line of credit is requested, additional documentation such as financial statements may be
required, and can add additional time to your credit approval timeline.
How Much Credit Can You Get: Most companies think it is better to get as much credit as
possible, but it is important to remember that you must be able to demonstrate your ability to
manage that credit successfully in order to maintain your strong credit rating. Your combined
credit profile, including your company assets, financial needs, and the overall state of your
business finances all should contribute to the amount of credit you request and will be
considered when a lender decides what it feels comfortable extending to you. It is important to
anticipate not only your financial needs, but what you can and cannot manage in terms of
financial responsibility. One way to help determine a manageable credit limit is to predict an
amount that is small enough so that you can pay it off in full for at least one month during the
year. This demonstrates solid business practice and shows that your finances are under
control. If you cannot pay off your credit card in full for at least one month during the year, it
may be seen as a reflection that you have borrowed too much, or that your income is not what
you expected, or that some other form of financial trouble is affecting your business
Choosing a Business Credit Card: Most major financial institutions that offer personal credit
cards offer business credit cards as well. When selecting a business credit card, it is important
to consider the following:
Fees: While some credit cards have no annual fee whatsoever, others come with an annual
fee of up to $100. This fee should be considered carefully when choosing a credit card, since it
is a major component of the total financing fees that a company will ultimately pay.
Line of Credit: If you plan to use your business credit card more as a source of operating
capital, you should take this into consideration when applying for a line of credit. Since there is
solely on the user.
no such thing as a "standard" line of credit, your company's business credit profile will be the
determining factor in the amount of credit you are offered.
Other Perks: Many business credit card companies offer additional rewards to try to entice a
borrower into choosing their product. Cash back incentives (1±3 percent for every dollar
charged), frequent flyer miles on a variety of airlines, gasoline discounts (3±5 percent for every
purchase of gasoline you make), and other product-related incentives are offered each time
you use your credit card. However, in some cases, there may be a fee for these types of
programs, so be sure you understand the terms of the program before agreeing to participate.
The best way to stay on top of your business credit is to be informed. It is crucial that you read
all the small print in the initial application, as well as any additional information that is mailed to
you from the credit card company. Remember that an advertisement for a business credit card
with no annual fee may only be available to certain customers who meet the designated
criteria.
Obtaining Assets: Obtaining assets means purchasing equipment or real property so your
business can run effectively. By securing a business loan, instead of leasing needed items,
you can buy them. You also may have the opportunity to purchase the facility that you operate
from, for example an office/medical building, storefront, warehouse, or factory.
Replacing Existing Financing: This means upgrading the terms of any existing debt by
replacing it with improved financing options. For example, you may have taken out a loan
when your business was just starting out and you had not yet established a positive credit
profile. However, once you build business credit, you are able to take advantage of more
favorable terms for your financing, including releasing any ties to collateral, reducing interest
rates, or eliminating other terms of the loan by securing funding from a new lender.
Acquiring Equity: When a business has multiple owners, whenever one of the owners leaves
the company, the remaining owners typically acquire the departing owner's "equity" or share of
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the company. Depending on the size of the company and the ownership interest at stake,
commercial lending may be required to finance the purchase.
Secure vs. Unsecured Business Credit Cards: Ideally, it is best to obtain an unsecured
business credit card whenever possible. However, if your company does not have any
business credit, or if you have a poor credit history for one reason or another, you may want to
consider applying for a secured credit card in order to establish or rebuild your credit profile.
With a secured credit card, the borrower deposits a certain amount of money into an account
with the financial institution issuing the card, and this account is used as collateral for the credit
card. Typically, 100 percent of the money deposited is reflected in the line of credit. For
example, if a company deposited $15,000 into a collateral account, it will be issued a business
credit card with a $15,000 limit.
A secured business credit card from Wells Fargo Business can provide a credit limit up to
$50,000, as long as that dollar amount is maintained in a collateral deposit account. While you
will earn interest on the funds deposited in the collateral account, this interest is significantly
lower (2.5 percent for the first year) than the interest charged on purchases made with the
credit card (prime plus 9.9 percent APR for purchases and prime plus 12 percent APR for cash
advances).
Secured credit cards are an excellent way to establish a solid business credit history, but only
if you can afford to front the funds required to establish the credit card in the first place. The
high cost of borrowing, combined with the lack of access to significant assets, make secured
credit cards a better short-term solution. After approximately one year, it is best to try to
convert your secured credit cards into unsecured cards by applying for an unsecured credit
card with the financial institution that issued your secured card.
CreditCards.com: www.creditcards.com/business.php
CardRatings.com: www.caradratings.com
solely on the user.
LowCards.com: www.lowcards.com/businesscards.asp
MoneySearch.com: www.moneysearch.com/creditcards/businesscreditcards.html
Loan Types:
When applying for financing for your business, you can consider either a personal loan or a
business loan. When applying for a personal loan, your individual credit rating and personal
assets are considered. When applying for a business loan, your company's business credit
and resources are considered, as well as the personal credit of the owner. How do you
determine which type of loan is best for you?
The best possible business loan is one that is based solely on the company's credit and
assets. In this situation, the lender only can seek retribution from the business if the terms of
the loan are not met. All of the owner's personal assets and personal credit rating are fully
protected. However, these types of loan programs are very rare, and only the most qualified
companies usually are approved.
A more common type of business loan takes into consideration the company's credit and
assets, as well as the owner's personal credit, and is guaranteed by the owner's personal
assets. While this type of loan does not protect the owner's assets, acquiring a loan like this is
an important step in establishing and building business credit. The goal is to show successful
business borrowing and repayment history so that in the future, your business credit will be
stronger and may help you qualify for a loan that does not require your personal guarantee.
Commercial Loans: These are the most common type of business loan. You can use these
loans for general purposes, such as inventory purchase, marketing, or developing a new
product line. Or you can apply for what is know as a single purpose loan whereby the funds
are used for a particular need, such as buying a new machine that your company needs.
Business Lines of Credit: This type of loan is similar to a revolving loan in that there is a
fixed cap on how much a person can borrow. The difference with a business line of credit is
solely on the user.
that once you begin to repay a portion of the funds borrowed, that repaid amount is available to
be borrowed again. For instance, if you have a $50,000 line of credit, and you borrow $10,000
against it, your borrowing capacity is reduced to $40,000. However, once you repay the
$10,000 and any interest charged, your borrowing power is increased again to $50,000.
Business lines of credit typically are established for a fixed period of time (like two years).
However, with continued good credit, the business line of credit can be renewed, and the limit
even can be increased if needed.
Business Credit Cards: Even though many small businesses are financed initially by the
personal credit cards of the owner(s), the goal is to eventually establish credit in the name of
the business and qualify for small business credit cards with lines of credit that can be used for
any number of business expenses.
Factoring: This is a unique method of borrowing that is based on the amount of accounts
receivable (funds your customers owe you based on purchases they've already made).
Ultimately, factoring allows you to borrow using the funds that are owed to you as collateral.
Funding usually is available within one to two days.
Loans against Retirement Plans: Many retirement plans, such as a 401(k) allow you to
borrow against the money that you have contributed into the plan. The law restricts the amount
of the loan to 50 percent of the balance or $50,000, whichever is less. To get a loan, just
request information and an application from the plan administrator. Typically, you must repay
the total amount borrowed in equal payments over five years. Since you essentially are
borrowing the money from yourself, the interest rate is very low and is credited back to your
account. Usually, you can receive the funds in less than a week after your request.
Loans against Life Insurance Plans: If you have a permanent life insurance plan, such as
universal life or whole life, for more than 10 years, you may be able to borrow against the cash
reserve that you have built up. The money typically is available to you within a few days of your
request. The interest rates charged on this type of loan are much lower the interest rates
solely on the user.
charged for business loans. With life insurance plan loans, you have the flexibility to repay
whatever amount of the loan you choose when you choose to pay it.
A company's business credit rating is influenced by many factors. Payment history,

organizational structure, length of time in business, and several other aspects are taken into
consideration when financial institutions are considering whether to approve a business credit
application.
Understanding these dynamics and taking proactive steps to enhance your company's
standing can be the difference between building solid business credit or not. Avoiding legal
action and upgrading your balance sheet appearance are the kinds of steps successful
businesses can take to strengthen its creditworthiness.
Number of Years in Business: Simply by staying in business, you will improve the
creditworthiness of your company. Lenders are reassured by the fact that you are conducting a
business that is sound enough to sustain itself when the reality is that many small businesses
fail within the first year. The longer your company is successful enough to generate the income
needed to successfully pay its monthly obligations and satisfy its customers, the better it looks
to potential lenders. While there is nothing you can do to increase the life of your business
more quickly, it is important to understand that as a start-up company, the other components of
business credit will weigh more heavily until you've been in business for three to five years or
more.
solely on the user.
CHAPTER 12: STARTING A ONLINE CREDIT REPAIR BUSINESS
At the start, it will be beneficial if you assess how entrepreneurial you actually are. You need to
ask yourself; ³Do you have what it takes to start a online business?´ Not all people are
entrepreneurial! With a honest assessment in hand, you can clearly visualize your potential
and hence make plans accordingly.
Being a successful entrepreneur who has started and managed several online businesses to a
level of profitability, Let me start with a few hard truths of being an entrepreneur:
1. It's stressful. If you think meeting a boss's deadlines or demands is tough, try meeting your
own, especially when your personal savings are on the line. Maybe you've already taken out a
second mortgage and your credit cards are maxxed out. Or maybe you've borrowed money
from family and friends and you're on the hook to pay them back, ASAP. This type of pressure
lights a fire under even the most laid-back personalities. Not only will you feel the pressure to
get your business off the ground, but you'll also feel the added pressure to do so quickly to
regain some semblance of financial security. Furthermore, you will be exposed to your
customers need and demands. Running a credit repair and alternative credit repair business
is a very busy fast paced service! Your clients for the most part will want and need real results
and expect same day service!
2. It's never-ending. Yes, it can be thankless to work for someone else, knowing your skills
and talents are ultimately making someone else a bundle. But in most jobs, you can leave the
work behind when you go home to enjoy your family, friends or hobbies. As an entrepreneur,
the workload can be intense, especially during the early and growing stages when you are the
CEO, CFO, HR person, sales staff, marketing guru, tech guy, office manager, and janitor. With
all these roles, there's rarely a moment that you feel your work is "done" for the day. There's
always something more you could be doing, like researching new markets, writing press
releases, contacting new media, cold calling new sales outlets, developing new products and
the list goes on. And that can eat away at time formerly devoted to family, leisure activities,
workouts or relaxation. It's a difficult balance to strike. If you want to start a business which
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isn¶t action packed, fast paced and working from a continual deadline; credit repair and
alternative credit repair will be a bad fit for you.
3. It's frustrating. Maybe you've partnered with someone who doesn't have your best interests
at heart. Or you¶re supplier of trade-lines or credit repair actually goes on vacation or drops the
ball on one of your clients. Or the release of a new product you spent days preparing for is
suddenly cancelled or delay due to unforeseen situations. As an entrepreneur, these types of
situations happen on a regular basis. (I speak from experience; all of the above happened to
me.) The truth is that you never know what's around the corner and it can be extremely
frustrating when you've planned to spend a day on product development, only to find out that
you have to spend time repairing a critical portion of your business and ignore several
customer service call or ignore the release of a hot new product to repair a critically needed
component of your business.
SO WITH THIS KIND OF STRESS, PRESSURE AND WORKLOAD, WHY, THEN, WOULD
ANYONE SUBJECT THEMSELVES TO BEING AN ENTREPRENEUR? THE ANSWER IS
SIMPLE: THE POSITIVES OUTWEIGH THE NEGATIVES:
1. It's rewarding. When you're successful, you reap both financial and emotional rewards.
There's no better feeling than seeing a product you've worked hard to develop selling like
crazy and being a benefit to the purchaser, or when you've provided successful service for a
grateful client. It's exciting to make a sale or win a new client when you know it's from your
own hard work; it's gratifying when customers tell you that your product, service or example
has made a difference in their lives. I had a customer call in after a few months of building
their CPN file tell me she was able to get a mortgage and get into her new home! That¶s
gratification! And of course, turning a profit and knowing your business is financially stable are
extremely rewarding as well.
2. It's flexible. Once you work for yourself, it's common to feel you could never work in a
conventional 9-to-5 environment again. I believe it's mostly due to the flexibility. Yes, you may
work more hours, but you can do so on your own terms. You can stop work at 3 to pick up the
kids from school without asking your boss for permission. You can work from 10 pm to 6 a.m. if
solely on the user.
you're a night owl. You can work from home or your own office with daycare on-site. When
you're the boss, you call the shots, and the new freedom can be exhilarating.
3. It's the chance to create. Many entrepreneurs are driven by the need to build something
great, help other people, or leave something behind. Credit Repair and Alternative Credit
Repair is perfect for people who love to build and create while help people at the same time!
Perhaps it's a business that your children can join and grow; maybe it's the legacy of creating
something that will be around long after you're gone. No matter what the motivation, creating
something from nothing that grows and develops through the years can be almost like raising a
child; it's your baby, and you've nurtured it to its current level of success. That type of
fulfillment is difficult to duplicate in most other career paths.
Why Start a Online Credit Repair or Alternative Credit Repair Business?
As you may already know, there can be many types of businesses: from selling ice-
cream to managing rock concerts. But there is one specific business type which is
extremely easy to start, does not require millions in funding and can be started by a
single person. The business type I am talking about is an online or an internet based
business. Unlike other business types which require huge startup capital and an array
of MBAs, with this business type you can just rely on your smartness and hard work to
get you success.
How to Start Your Own Online Business
Here I will begin by showing you how to make or create a website. This section is intended for
the beginner and layperson, taking you step by step through the whole process from the very
beginning. It makes very few assumptions about what you know (other than the fact that you
have the Internet, and a basic knowledge of computers).
1. Get Your Domain Name- We offer a free website through our affiliate program for
$9.99 per month; http://www.legalcpn.com/affiliate_get_started.html , or you can
start your own website, hosting, and design.
solely on the user.
The first thing you need to do before anything else is to get yourself a domain name. A
domain name is the name you want to give to your website. For example, the domain
name of our website is " www.legalcpn.com ". To get a domain name, you have to pay
an annual fee to a registrar for the right to use that name. Getting a name does not get
you a website or anything like that. It's just a name. It's sort of like registering a
business name in the brick-and-mortar world; having that business name does not
mean that you also have the shop premises to go with the name.
2. Choose a Web Host and Sign Up for an Account
A web host is basically a company that has many computers connected to the Internet.
When you place your web pages on their computers, everyone in the world will be able
to connect to it and view them. You will need to sign up for an account with a web host
so that your website has a home. If getting a domain name is analogous to getting a
business name in the brick-and-mortar world, getting a web hosting account is
analogous to renting office premises for your business.
3. Designing your Web Pages
Once you have settled your domain name and web host, the next step is to design the
web site itself. I am assume that you will be doing this yourself. If you are hiring a web
designer to do it for you, you can probably skip this step, since that person will handle
this step. We have found great success with our web team and their can also help you
design great web pages and a great website;
http://www.affiliateinformationtechnology.com/flash4less_home.html
4. Testing Your Website
You will need to test your web pages as you design them in the major browsers:
Internet Explorer, Firefox, Opera and Safari. Since all these browsers are free anyway,
solely on the user.
it should not be any hardship to get them and install them. The trick however, is testing
with more than one version of Internet Explorer since the later version will overwrite the
earlier. One way to improve your chances that your website will work in future versions
of the web browsers is to make sure your web pages' code validate as correct (that is,
has no errors in its underlying code). There are numerous free web page validators
listed on the Free HTML Validators, Broken Link Checkers, and Browser Compatibility
Checkers page. If you want to build a web site that will literally consistently earn you
$20,000/ $30,000/ $50,000/ $90,000/ $120,000 or more you must take this step very
seriously! I can not tell you the amount of updates we have made with
www.legalcpn.com. I also can not tell you how many times we received comments from
our clients stating a page or two of our website looks goofy their computer for some odd
reason. In many cases it is directly related to their browser and they need to clear their
systems files but in some cases it is a direct link the Firefox or Internet Explorer displays
web pages a tad bit differently. In any event you will need to test your website in all
major browsers to ensure your website is functioning properly and stay current with in
web changes also to ensure your updates work properly on the world wide web.
5. Collecting Credit Card Information, Making Money
If you are selling products or services, you will need some way to collect credit card
information. Credit card payments allow you to take advantage of the following types of
customers:
Impulse buyers: After reading your advertisements on your site, buyers would be all fired up
about your product. If they have a means of making a purchase immediately, you've secured
that sale. If you only allow cheque payments, the additional time it takes for them to get their
cheque book and mail out the cheque may be a deterrence. They may also have second
thoughts later.
International and interstate customers: Credit card payment is a tremendous convenience if

your customers are overseas, outside of your residing city location or state. It automatically
takes care of the problems of currency differences as well as the time it takes for a cheque to
solely on the user.
travel to the vendor. You will lose a large number of customers if cheque payment is the only
way you can accept payment.
METHODS OF ACCEPTING CREDIT CARD PAYMENTS
There are actually two ways in which you can accept credit cards on your site.
a) Using Your Own Merchant Account. To do this, you will need a bank that will allow you
to open a merchant account. Requirements for this will vary from country to country,
and you should check with your local banks for more information on this.
b) Through a Third Party Merchants. There are numerous companies around that are
willing to accept credit cards payments on your behalf in exchange for various fees and
percentages. These are also known as "payment gateways".
Which Method Should You Use?
The initial costs of opening your own merchant account is usually lower than when you use a
third party merchant. Indeed, some third party merchants have no setup fee at all. However,
the transaction fee (which is what you pay the bank or third party merchant for each sale) is
much higher when you use a third party as compared to when using your own merchant
account. From my experience the majority of large banks such as Chase, Bank of America,
and Huntington all offer merchant account services.
A third party merchant is usually convenient to use when you don't know if you can actually
make much out of your product or service. If you just want to test the water to see how things
are, this is usually a good way to start. It is also convenient in that the merchant takes care of
everything for you. You just get a cheque, a daily direct deposit, a weekly direct deposit, or
your account will build up until you request funds; period. Having your own merchant account
accords your business with a certain amount of professionalism. And, as mentioned earlier,
your transaction costs are usually much lower. However you have to be careful to minimize
your credit card risks since you'll be processing the credit card payments yourself. This is not
to say that there are no risks in using a third party merchant. You will need to be aware that
most merchant banks and third party vendors are very touchy about how much money you
process on a monthly basis. We have seen that if you net 10,000.00 or more with large
solely on the user.
transactions such as 400.00 or more per transactions they will flag your account and quietly
watch your account nervous to their risk they hold by sponsoring your account. We have also
seen you can net the same sales volume from smaller sales; such as $100.00 or less and they
can care less if you blow past 10,000.00 30,000.00 or more because their exposure ³PER
TRANSACTION,´ is minimal. We have also see most banks do not like bank products you
might want to sell. This means trade-lines! If your planning on selling trade-lines and you
need a merchant account please be prepared to shop your business needs around.
A LIST OF THIRD PARTY MERCHANTS / PAYMENT GATEWAYS

Here's a list of some third party merchants that you might want to consider if you're looking for
ways to accept credit card payments. Except for PayPal and Google I have not actually tried
any of them myself (as a vendor). Check them out carefully and use them at your own risk.
Note that rates and stuff that I publish below were correct at the time I investigated these
vendors. It will most likely have changed by the time you read this since the merchants tend to
modify their rates from time to time according to market conditions. Make sure that you check
the current (up-to-date) details from their site before making any decision.
THE LIST IS ARRANGED ALPHABETICALLY.
Amazon's WebStore: This well known company allows you to create a store front that
accepts orders and processes credit card transactions for you. You can associate your domain
name with this store, so that you don't even have to create a website: the store, which you can
customize, will become your website. The first month is free, and there is a fixed charge of
$59.99 per month after that. For a higher monthly fee, $99.98 after your first free month, you
can elect to have your goods sold on the main Amazon site, in addition to your own store.
http://webstore.amazon.com/
CCBill: There are no setup fees. Transaction fees vary (I can't find the schedule though)
depending on the volume of sales in each accounting period. According to their website, "these
fees are never more than 13.5% of revenues charged during this one-week period for CWIE
hosting clients and 14.5% for non-hosting clients". http://www.ccbill.com/
solely on the user.
CCNow: This is only for people who ship tangible, physical products. There is no setup fee,
and they charge 9% per transaction except in the November and December where the fees
are 8% per transaction (yes, lower). http://www.ccnow.com/
Google Checkout: Google has its own payment gateway that is available for US and UK
sellers. It is mainly for use if you are selling tangible and digital goods, although you can also
use it to charge for services and subscriptions. Charges range from 1.9% + $0.30 USD to 2.9%
+ $0.30 USD per transaction, depending on the volume of sales in the previous month. If your
buyer is not from your country (ie, not in the US if you are in the US, or not in the UK if you are
in the UK), there is also another 1% processing fee.
https://www.google.com/accounts/ServiceLogin?service=sierra&continue=https%3A%2F%2Fc
heckout.google.com%2F%3Fgsessionid%3DF9Q_DxV4ST0%26upgrade%3Dtrue&hl=en_US
&nui=1&ltmpl=default
Kagi: Kagi's fees seem to vary according to the order size, type of item sold and the type of
payment (credit card, cash, money order) used by your customer.
http://www.kagi.com/index.php
PayPal: This well-known service allows you to set up a Premier or Business account (you can't
receive credit card payments using a Personal account). The charges range between 1.9% +
$0.30 USD to 2.9% + $0.30 USD for each transaction if you are in the US. Non-US users are
charged different amounts according to the country. From experience, I find this service easy
and fast to setup. https://www.paypal.com/row/mrb/pal=694RGAUPTXTGL
ProPay: A new competitor to PayPal (see elsewhere on this page) that currently only caters to
US residents. Depending on the type of account you sign up for, you have to pay an annual
fee (starting from $34.95) as well as transaction fees of 3.5% + $0.35 USD. However, to
accept cards like American Express and Discover, you have to use their more expensive
plans. https://epay.propay.com/
solely on the user.
RegNow: Designed for software authors to sell their ware, this merchant charges a one-time
activation fee of $19.95 USD plus a transaction fee of 6.9% plus $1 USD per unit for their
commission (minimum $2 USD charge). They also provide you with facilities that allows you to
easily set up an affiliate program. http://www.regnow.com/
How to Put an Order Form or Shopping Cart on Your Website
Once you have signed up the vendor of your choice, you will be able to put an order form or
shopping cart on your site. Each vendor has a different method for this, but most, if not all, will
provide you with premade forms that you can customize for your product or service.
6. Getting Your Site Noticed
When your site is ready, you will need to submit your site to the search engines,
particularly Google. You can find the Google submission page by clicking this link;
http://www.google.com/addurl/ . However, submitting your site to Google alone is, quite
frankly, a pointless endeavour. If there are no other links to your site on the web,
Google will be reluctant to index your site and show results that include your pages. If
there are many other links to your site, you don't even have to bother to submit it to
Google - it will find your site by itself.
This is where promoting your website is important. This involves many things, including
the usual way people did things before the Internet: advertisements in the newspapers,
word-of-mouth, etc. You might want to consider advertising on places like Yahoo!
(which puts your ads on Yahoo!, AltaVista and CNN), Ask (which puts your ads on Ask,
Excite, Match.com, Gifts.com, etc) or Google. Ads can also be a quick way to get onto
the first page of a search engine's results page.
There are also Less Obvious Ways of Promoting Your Website, which you might want
to consider.
Everyone knows that if you want to promote your website, you need to work on your search
engine listings. What is perhaps lesser mentioned is that there are other ways of drawing traffic
solely on the user.
to your site that are sometimes missed by the newcomer. Some of these can prove to be quite
good at drawing traffic.
a) Advertising
Don't underestimate the value of an advertisement, delivered at the right time in the
right place. If you have the budget, you might want to consider advertising on other sites
or in the search engines itself. For example, at this time, Yahoo! (which puts your ads
on Yahoo!, AltaVista and CNN), Ask (which puts your ads on Ask, Excite, Match.com,
Gifts.com, etc) have advertising programs for web publishers that allows them to
advertise according to their budget on their sites and as well as participating websites.
These companies usually show your advertisement on pages that have the appropriate
context - for example, if you choose the keyword "bicycle" for your bicycle
advertisement, the companies will attempt to place your advert on search results (and
possibly sites) relating to bicycles, thus making it more likely that the people reading
your ad are those who are interested in bicycles.
b) Newsletter Methods
I've mentioned previously how important it is to have a free newsletter that your visitors
can sign up on your website. In particular this can serve as a link between you and your
visitors, benefitting both parties, and drawing return visitors to your site. You can
actually promote your site and draw *new* visitors by having your own newsletter. How
is this done?
1. Newsletter Announcement Lists
If your newsletter has useful content, you can actually promote your newsletter
on the numerous newsletter announcement lists on the Internet. Targeted
carefully, you can actually bring new visitors who want to check your site out after
reading your announcements. There are probably too many lists for me to
exhaustively name in this release. Indeed, some of them are only frequented by
webmasters like you and me whose only purpose there is to announce their own
solely on the user.
list. You will probably find out soon enough which announcement list works best
for your newsletter and target group if you stagger your announcements and
examine your web logs after each announcement is made.
Here are a couple of announcement lists to get you started:
AAnnounce
New-List
There are many more around which you can find with a little research or google
searching.
2. Newsletter / Ezine Directories
Besides newsletter announcement lists, there are also numerous ezine

directories where you can list your newsletter or ezine. These might draw some
traffic to your site too, depending on their popularity and your target group.
2. Free Articles for Republication
If you write your own original articles, you can actually make those articles available to
other websites and newsletters for republication. The usual policy is that other sites and
newsletters can republish the article only in its entirety without modification, and the
author's byline and links to his website (usually at the bottom of the article) must be
preserved.
This supposedly results in a mutually beneficial transaction - the other website (or
newsletter) gets to use good articles which can draw in visitors to their site. You get free
publicity, since your byline will include a link back to your website and brief information
about what it offers. There are, however, downsides to this. Nonetheless, if you wish to
allow your articles to be published by others, there are at least a couple of ways you can
get this done.
solely on the user.
One way is to simply post a note on your site saying that all articles are free for
republication and that the person who wants to reprint them need not specifically get
your permission to do it. This allows your article to spread fast around the web.
Another way is to require other websites to request permission from you, which you will
grant freely. This results in a slower distribution of your articles, but it has the advantage
of your being in better control of its distribution.
You can also post your articles on certain sites and mailing lists designed for
webmasters who are looking for articles to reprint. One such site is Ezine Articles.
3. Free Software
If you are adept at writing your own software, you might consider offering free versions
on your site to attract visitors. Offering your own original software allows you to leverage
on the free advertising done by the numerous software sites on the Internet which drive
traffic to your site. I know you¶re considering credit repair and alternative credit repair as
a business but if you can write software I see a tremendous opportunity for you. Note if
your free software is unrelated to the theme or products offered by your main site, the
best you get is untargeted traffic, which may consume your bandwidth without
necessarily increasing your revenue.
4. Free Ebooks
Essentially, having an ebook that is freely available has good promotional potential. You
can submit the free ebook (which will promote and distribute your ebook for you free of
charge) and encourage your visitors to pass it to their friends. An example of a free
ebook site where you can submit your Ebook is http://www.free-ebooks.net/.
5. Links from Other Sites
There are webmasters who claim that the main source of their visitors come from links
from other sites. While I can't claim that for www.legalcpn.com as yet (the search
solely on the user.
engines are still the biggest referrers by far), it is true that a certain percentage of my
visitors come from links on other sites.
How do you get others to link to you?
1. Set up your own Reciprocal Links page where you can put links to other sites.
2. Prepare some HTML code which the other sites can use to link to you, and put it
in a Link To Us page for the convenience of other webmasters.
3. Look out for related websites which have a Reciprocal Links page. Put a link to
their site in your Links page, and ask them for one in return. They're more likely
to consider your request if you're already linking to them and if you ask politely.
Perhaps by far the most important thing you need to do to get others to link to you is to
put up useful content. That is, don't concentrate solely on talking about your products
and services. When other webmasters see a useful site, they will link to you without
your even having to request that link. I don't think I have ever written to anyone to
specifically request that they link to this site (except to submit to the usual directories).
Webmasters like to link to useful sites, since it has the effect of increasing the value of
their own site (strangely, having good links actually attracts return visitors - this is how
blogs work). Make your site useful, and you will be surprised to find people linking to
you without your asking. It is also very important to watch out for un-neighborly
webmasters who will make an attempt to use a negative link to your website in an effort
to promote their site. In this case simply send the webmaster a notice of to remove your
name from their site if you feel for some reason your name is being used in poor taste.
Get Started
There are many other ways to promote your site besides getting a good search engine
ranking. Work on these alongside your search engine submission activity, and you will
probably find that your efforts will pay off with increased traffic and increased sales. You have
chosen a great career and business option by choosing credit repair and alternative credit
repair, so I¶d be shocked if after a few months or within your first year business was slow.
solely on the user.
Conclusion
Naturally the above chapter is not exhaustive. It is a distillation of some of the essential steps
in getting started with your website and building a profitable web based business. The key to
this passage was within the my last statement; to allow the first few months up to your first
year in business. Allow time and customer service to grow you business. If you want more
information, you should read the other articles related to this topic or read more information
within areas needed to help you build your web business. However, the above chapter should
be enough to help you put your website on the Internet.
Copyright 1999-2010 A Consumer Holding LLC; Legal CPN; Matt Cohen, All rights reserved.
Get more information and articles please visit my website www.legalcpn.com
solely on the user.

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2010 CPN SECRETS 2

Copyright, Legal Notice and Disclaimer:

LEGAL CPN 2010 ³TELL ALL´ CREDIT SECRETS

CHAPTER 1 ± Understanding Your Credit..........................................................10

CHAPTER 2 ± How You Can Freeze Your Credit Report ...................................16

CHAPTER 3 ± Securing a Second Chance with Chex Systems ........................23

CHAPTER 4 ± Credit Profile Numbers (CPN¶s)...................................................29

CHAPTER 5 ± Seasoned Trade-Lines .................................................................54

CHAPTER 6 ± Personal Credit Repair .................................................................62

CHAPTER 7 ± Simple Steps to Establish Business Credit ...............................74

CHAPTER 8 ± Basics of Setting Up or Purchasing a Shelf Corporation .........86

CHAPTER 9 ± Purchasing A Aged Corp for Less Than $100 ..............................98

CHAPTER 10 ± Repairing and Rebuilding Business Credit .............................. 100

CHAPTER 11 ± Applying For Business Credit ................................................... 111

CHAPTER 12 ± Starting a Online Credit Repair Business ................................ 120

APPENDIX A ± SHELF CORP, PERSONAL, MEGA CORP; LENDER LIST .......... A

APPENDIX B ± SAMPLE EXPERIAN BUSINESS CREDIT REPORT ..................... B

WELCOME AND THANK YOU FOR YOUR PURCHASE:

My name is Matt Cohen,

A SUMMARY OF YOUR RIGHT UNDER THE FAIR CREDIT REPORTING ACT

Consumer reporting agencies must correct or delete inaccurate, incomplete, or unverifiable

CHAPTER 1: UNDERSTANDING YOUR CREDIT

THE HISTORY OF CREDIT REPORTS

THE FIVE TYPES OF INFORMATION FOUND ON YOUR CREDIT REPORT:

5. Consumer Statements: This section contains any statements you¶ve submitted to

CREDIT SCORES AND CREDIT REPORTS

HOW IS A CREDIT SCORING SYSTEM DEVELOPED?

To develop a credit scoring system or model, a creditor or insurance company selects a

WHAT DOES THIS MEAN TO YOU?

HOW YOUR CREDIT SCORE IS CALCULATED

CHAPTER 2: FREEZEING YOUR CREDIT REPORT

CREDIT FREEZE LAWS BY STATE

Will a freeze lower my credit score? No.

Can an employer do a background check on me if I have a freeze on my credit file? No.

SAMPLE FREEZE LETTER TO EQUIFAX

Equifax Security Freeze

I would like to place a security freeze on my Equifax credit file.

My full name is:

My current home address is:

My former address was:

My Social Security number is:

My date of birth is:

PLEASE CHECK ONE:

[By check, money order, or credit card]

[Your name and address]

SAMPLE FREEZE LETTER TO EXPERIAN

Experian Security Freeze

I would like to place a security freeze on my Experian credit file.

My full name is:

My current home address is:

Below is a list of my addresses for the past two years:

My Social Security number is:

My date of birth is:

As proof of my residence, I am enclosing the following two items: 2

Please check one:

[By check, money order, or credit card] 3

[Your name and address]

SAMPLE FREEZE LETTER TO TRANSUNION

TransUnion Security Freeze

I would like to place a security freeze on my TransUnion credit file.

My full name is:

My current home address is:

My Social Security number is: